posted 22nd February 2026
How to Recover Unpaid Invoices in the UK (Fast Legal Action for SMEs)
If a customer won’t pay, acting quickly is critical. Many businesses searching:
- How to recover unpaid invoices UK
- Debt recovery for small businesses
- Statutory demand unpaid invoice
- Letter before action debt recovery
Are already dealing with overdue cash flow. Meridian Legal Services helps UK SMEs recover unpaid debts quickly and legally, using formal recovery action designed to secure payment without unnecessary delay.
Contact Meridian Legal Services today for immediate debt recovery advice.
Step 1: Send a Letter Before Action.
If an invoice is overdue and undisputed, the first legal step is issuing a Letter Before Action (LBA).
A Letter Before Action from Meridian Legal Services:
- Formally demands payment
- Sets a legal deadline
- Claims statutory interest
- Warns of court proceedings
Debtors who ignore internal reminders often respond once legal representation becomes involved.
Can You Claim Interest on Late Payments?
Yes.
Under the Late Payment of Commercial Debts (Interest) Act 1998, businesses can claim:
- Statutory interest (8% above base rate)
- Fixed compensation
- Recovery costs
Including interest strengthens your recovery position and increases payment pressure.
Meridian Legal Services calculates and includes these sums within formal recovery correspondence.
Step 2: County Court Claims for Unpaid Invoices.
If payment is still not made, Meridian Legal Services can help you issue a County Court claim.
This may result in:
- County Court Judgment (CCJ)
- Enforcement action
- Bailiff or High Court enforcement
- Charging orders
Many debts are settled shortly after proceedings are issued.
Using a Statutory Demand to Recover Debt.
Where a debt exceeds £750 and is undisputed, Meridian Legal Services may advise issuing a statutory demand.
This formal insolvency notice requires payment within 21 days.
Failure to pay can lead to winding-up proceedings against the debtor company.
Because of the seriousness of insolvency action, statutory demands often prompt rapid settlement.
When Should You Instruct Meridian Legal Services?
You should seek legal recovery support where:
- The debtor is ignoring communication
- Payment deadlines have passed
- The debt is affecting cash flow
- A dispute has been raised
- Internal recovery efforts have failed
Early legal intervention significantly improves recovery prospects.
