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• 27th April 2007

Small claims limit of £1000 for injury cases retained

The Department of Constitutional Affairs (DCA) confirms that it will not be increasing the small claims court limit of £1000 for personal injury claims despite sustained lobbying and argument from insurers.

Lord Falconer issued a statement making it clear that the DCA will be encouraging reform of the personal injury process - particularly involving smaller value claims - but he will not increase the small claims limit of £1000 beyond which costs become recoverable.

In a move that will be welcomed by many claimant solicitors, the DCA have taken the view that by stripping out of the equation, all No win No fee solicitors who might otherwise help and advise injured claimants, the only winner will be the compensating insurance company.

Advice bodies such as CAB would simply not cope with the increased demand for help in such a specialised area of law. The system would not manage and the injured party would be disadvantaged.

Further changes will take place to the injury claims system though with discussions focusing on "settlement packs" to be prepared by solicitors when presenting evidence.

The common sense shown by the DCA is to be very much appreciated

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