Fixed Recoverable Costs Reforms – pushed back to October 2023!
The Civil Justice Council’s 11th National Forum (Improving Access to Justice for All) took place on 18 November 2022. One of the most significant pieces of news to come out of that was Lord Bellamy KC’s announcement that the latest round of Fixed Recoverable Costs (FRC) reforms (originally due to be implemented in April 2023) has now been pushed back to at least October 2023. In making the announcement, he made it clear that the reasons for the delay included considering the particular implications in housing disrepair cases (HDR) and the Belsner v CAM Legal Services Ltd [2022] EWCA Civ 1387 judgment.
Followers of costs reform will know that the Civil Justice Council approved the setting up of a Costs Working Group in its April 2022 meeting which led to a Consultation which ran from June to October 2022. That Consultation sought responses to (i) costs budgeting (ii) guideline hourly rates (iii) pre-action protocols/portals and the digital justice system and (iv) the wider impact of the extension of FRC.
Kain Knight Costs Lawyers submitted a Response to that Consultation specifically with reference to the wider impact of the extension of Fixed Recoverable Costs. In particular, Kain Knight highlighted the potential, significant consequences the introduction of FRC would have on vulnerable Claimants bringing claims for HDR. Since the closing of the Consultation, the world heard the tragic story of the death of two-year old Awab Ishak who died as a result of exposure to mould. This incident, and similar stories, brings to the fore the importance of vulnerable Claimants being able to bring about repairs to their homes without their access to justice being prejudiced, which many argue implementing FRC to HDR claims would.
Accordingly, it is no surprise that Lord Bellamy KC gave the potential implications FRC would have on vulnerable HDR Claimants as one of the reasons for deferring the implementation of the FRC reforms.
Lord Bellamy KC also referenced the recent Court of Appeal’s decision in Kain Knight’s case of Belsner v CAM Legal Services Ltd [2022] EWCA Civ 1387 and its implications on the FRC reforms as another reason for the delay.
Kain Knight are pleased that, in highlighting the impact on the access to justice for vulnerable HDR Claimants and in defending the legal profession in Belsner v CAM Legal Services Ltd that we are leading the way in attempting to shape civil costs in England & Wales.
Nick McDonnell is a Director & Costs Lawyer with Kain Knight Costs Lawyers.
