Clause 13 - Interest on unpaid sums

Part of Proceeds of Crime Bill – in a Public Bill Committee at 2:30 pm on 22 November 2001.

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Photo of Bob Ainsworth Bob Ainsworth The Parliamentary Under-Secretary of State for the Home Department 2:30, 22 November 2001

If the hon. Member for Spelthorne (Mr. Wilshire) reads the clause, he will see that the matter is clear. Interest is payable from the time when the order becomes payable. If the defendant has asked for time to pay and that is being considered, interest is not payable for that period. There is no doubt about that. The clause states:

``If the amount required to be paid by a person under a confiscation order is not paid when it is required to be paid, he must pay interest on the amount for the period for which it remains unpaid.''

I turn to who sets the level of interest and whether it is appealable. The level of interest is that which applies to other cases under the Judgments Act 1838. It can be varied by order from the Lord Chancellor's Department. It is currently 8 per cent. The level of interest that will apply will not be appealable because it is set in statute and applies to other issues.