Proposal to extend the fixed costs scheme

A consultation, that fixed costs (i.e. where the amount of costs recoverable at the end of a case is fixed by Rule rather than assessed by court) should apply to most civil cases worth up to £100,000, will end on 6 June 2019.

Clinical negligence cases and claims in the business and property courts are excluded from the proposals, but all other civil claims in the fast track are intended to come into scope. The proposals take forward recommendations made two years ago by Lord Justice Jackson, who advocated fixed costs for all fast-track cases and a new ‘intermediate track’ for certain claims up to £100,000. It is not proposed to bring forward a new track but it is proposed that the fast-track be extended.

As the MoJ considers that Part 36 works well (encouraging settlement by applying higher costs where an offer is made but not beaten at trial) it is proposed that there should be a 35% uplift on fixed costs in Part 36 cases.

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