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This Penalty would be for a failure to self assess 18/19. As you ceased self employment and began PAYE employment in 17/18 a snotty note to HMRC that effect would appear in order as you were no longer self employed. It is all the fault of some ignorant twerp in HMRC with a very limited knowledge of your employment history.
That is in the 17/18 tax year so the error is still HMRC's.