Responding to the publication of a government consultation on limiting claimants' legal fees for cases valued up to £25,000, John Makin, head of the DDU, said:
"This consultation has been a long time coming and is a step in the right direction. However, for a fixed recoverable cost scheme to have a meaningful impact on claims, the DDU strongly believes that the scope of such a scheme should be far wider - applying to claims up to £250,000.
"Notwithstanding this, the proposal for a scheme for claims up to £25,000 is welcome. To put this in context, a significant proportion of the cases we settled for below £25,000 in 2020 saw legal costs paid to claimants' lawyers exceed the compensation paid to claimants by over 500%.
"The government has promised a more ambitious consultation this year on wider reforms. It is vital this happens. A House of Commons select committee inquiry is also underway. The DDU's parent company, the MDU, has submitted robust evidence, which we want to see acted upon without further delay."
Find out more about the reforms called for in our fair compensation campaign.
This page was correct at publication on 01/02/2022. Any guidance is intended as general guidance for members only. If you are a member and need specific advice relating to your own circumstances, please contact one of our advisers.