Cases - Sempra Metals Ltd v Inland Revenue Commissioners

Record details

Name
Sempra Metals Ltd v Inland Revenue Commissioners
Date
[2008]
Citation
1 AC 561
Legislation
Keywords
Interest on late payment - interests losses could be recovered
Summary

This case arose out of the taxation of certain companies by the UK government in breach of EC law. The House of Lords took the opportunity to depart from previous case law which had restricted the circumstances in which interest losses, such as borrowing costs or loss of opportunity to earn interest, could be recovered in a claim for late payment of a debt.

The court stated that interest losses could be recovered as damages for breach of contract, subject to the usual requirements of proof, remoteness and mitigation.