The new – 0.75% discount rate – some worked examples
27th February 2017
The discount rate has moved by a huge 3.25% downwards to -0.75%. It has not moved down by 0.75% (to 1.75%, which many would probably not have been surprised by), rather it has dropped to -0.75%. The practical effect of that is that rather than awards of damage being discounted for accelerated receipt, they will now be uplifted for accelerated receipt. Following important update, Rachel provides further worked examples of what the new -0.75% discount rate might mean in practice for a variety of common scenarios.