Customer won't pay: your options as a UK tradesperson
The job's done, the customer's gone quiet, and you're out of pocket for labour and materials. It's one of the worst feelings in the trade — you did the work and now you're chasing your own money.
The good news: you have real options, and most disputes settle long before a courtroom because the customer knows they'll lose. Here's the ladder, from a polite nudge to a county court claim.
This covers England and Wales. Scotland (simple procedure) and Northern Ireland have their own systems and limits — the principles are similar but the forms and thresholds differ. Check the current rules for your jurisdiction, and this isn't legal advice.
Step 1 — Check your paperwork first
Before you chase, make sure your ground is solid. You're in a far stronger position if you have:
- An accepted quote (or written estimate) showing the price and scope.
- Evidence the work was done — photos, messages, sign-off.
- Clear payment terms and an invoice with a due date.
If you agreed everything by text and voice, that still counts — a contract doesn't have to be a signed document. Gather it all now; you'll need it if this escalates.
Step 2 — The friendly reminder
Don't assume the worst. People forget, invoices get buried. A simple nudge clears most of them:
"Hi [name], just a reminder that invoice #1042 for £4,382 was due on [date]. Could you sort that this week? Let me know if there's any problem. Thanks, [you]."
Keep it warm. Most late payers here aren't refusing — they're disorganised.
Step 3 — The firm reminder
Nothing after a week or two? Firmer, still professional, in writing (email or text — you want a record):
"Hi [name], invoice #1042 (£4,382) is now [X] days overdue. Please pay by [date]. If there's an issue with the work, tell me and I'll put it right. If I don't hear back, I'll have to consider formal recovery. Thanks."
This does two things: offers to fix any genuine complaint (which protects you if they later claim the work was faulty), and signals you're serious.
Step 4 — The letter before action
This is the big one, and the step most customers fold at. A letter before action (also called a letter before claim) is a formal written demand that says: pay by a deadline, or I start court proceedings.
In England and Wales, if you're a business claiming from an individual (most domestic customers), you're expected to follow the Pre-Action Protocol for Debt Claims before issuing a claim. In practice that means giving them proper notice and information and a reasonable time to respond — typically 30 days — before you go to court. Skipping it can count against you.
A letter before action should include:
- Your details and theirs.
- The amount owed and what it's for (reference the invoice and job).
- A copy or summary of the accepted quote/invoice.
- A clear deadline to pay (e.g. 14–30 days).
- A statement that you'll start court proceedings if they don't pay, and may claim interest and costs.
A short template:
[Your name / trading name]
[Address] [Date]
To: [Customer name and address]
LETTER BEFORE ACTION
Re: Unpaid invoice #1042 dated [date] — £4,382
On [date] I carried out [describe work] at [address], which you
accepted per my quote dated [date] (copy enclosed). Invoice #1042
for £4,382 was due on [date] and remains unpaid.
I now require payment in full within 30 days of the date of this
letter, by [date].
If I do not receive payment by that date, I intend to issue court
proceedings to recover the debt without further notice. I may also
claim interest and my costs.
I would prefer to resolve this without court action. If you dispute
any part of this, or wish to arrange payment, please contact me by
[date].
Yours faithfully,
[Your name]
Send it so you can prove it arrived (email with a read receipt, or recorded post). Keep a copy.
Step 5 — The small claims court
Still nothing? You can make a claim online through Money Claim Online (MCOL) or the official government service. For most trade debts this goes through the small claims track, which handles claims up to £10,000 in England and Wales.
- There's a court fee to issue, which scales with the amount claimed — you can ask to add it (and interest) to what you're owed if you win.
- Small claims is designed to be used without a solicitor — it's built for exactly this.
- Winning gets you a County Court Judgment (CCJ). If they still don't pay, there are enforcement routes (bailiffs, attachment of earnings).
The threat alone often does it — a CCJ wrecks someone's credit, and many people pay the moment a claim lands.
Can you charge interest and compensation?
This is where a lot of tradespeople get it wrong, so get it right:
- Business customer (B2B): the Late Payment of Commercial Debts (Interest) Act 1998 lets you charge statutory interest (8% plus the Bank of England base rate) plus fixed compensation (a set amount per invoice by size band). This applies automatically to commercial debts.
- Domestic customer (a consumer): that Act does not apply. You can only charge interest if your contract or terms said so up front. So put an interest clause in your terms — "overdue accounts charged interest at X% per month" — if you want that lever with homeowners.
Either way, courts can award interest, so you're rarely left with nothing but the principal.
When it's not worth it
Be honest about the maths. For a small debt, the time, stress and fees can outweigh the money. Sometimes the right call is to write it off, learn the lesson, and make sure it can't happen again. But for a few thousand quid on a bathroom? Follow the ladder — it usually pays.
The real fix: don't get here
Every case above is easier to prevent than to cure. The two habits that stop most non-payment:
- Take a proper deposit and stage payments on bigger jobs, so you're never fully exposed.
- Chase early and systematically — most debts that go bad were simply left too long. See chasing late invoices without losing the customer.
QuoteSnap keeps your accepted quotes and customer thread in one place, so if a job ever goes to a letter before action you've got the paperwork ready to go. Try it free for 14 days.