BIM64240 - Private Finance Initiative (PFI): interest: contents

Interest paid by corporate PFI operators is dealt with under the loan relationships legislation. General guidance on loan relationships is at CFM30000 onwards.

Some specific guidance on the application of thin capitalisation principles to PFI deals is given at INTM568000.

Notional interest

Where, as an accounting exercise, a figure representing accrued finance income on a finance debtor, i.e. notional interest, is credited to the profit and loss account (see BIM64125), neither it, nor the corresponding debit to the finance debtor, is interest on a money debt for the purposes of the loan relationship legislation.

The guidance on interest is arranged as follows:

  1. BIM64245
    Interest: trade
  2. BIM64250
    Interest: trade: table of examples
  3. BIM64255
    Interest: trade: example 1
  4. BIM64260
    Interest: trade: example 2
  5. BIM64265
    Interest: trade: example 3
  6. BIM64270
    Interest: trade: example 4
  7. BIM64275
    Interest: trade: example 5
  8. BIM64280
    Interest: trade: example 6
  9. BIM64285
    Interest: trade: example 7
  10. BIM64290
    Interest: trade: example 8
  11. BIM64295
    Interest: non-trade
  12. BIM64300
    Interest: non-trade: table of examples
  13. BIM64305
    Interest: non-trade: example 1
  14. BIM64310
    Interest: non-trade: example 2
  15. BIM64315
    Interest: non-trade: example 3
  16. BIM64320
    Interest: non-trade: example 4
  17. BIM64325
    Interest: pre-trading
  18. BIM64330
    Interest: pre-trading: table of examples
  19. BIM64335
    Interest: pre-trading: example 1
  20. BIM64340
    Interest: pre-trading: example 2
  21. BIM64345
    Interest: pre-trading: example 3
  22. BIM64350
    Interest: pre-trading: example 4
  23. BIM64355
    Interest: pre-trading: example 5
  24. BIM64360
    Interest: pre-trading: example 6
  25. BIM64365
    Deemed premium on lease
  26. BIM64370
    Refinancing gains
  27. BIM64371
    Refinancing gains: interest
  28. BIM64375
    Capital allowances
  29. BIM64380
    Capital allowances: highway undertakings
  30. BIM64385
    Capital allowances: highway undertakings: toll roads
  31. BIM64390
    Capital allowances: highway undertakings: right to receive sums from a relevant authority
  32. BIM64395
    Group relief
  33. BIM64400
    Group relief: trading company