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22 April 2026
Issue: 8158 / Categories: Legal News , Collective action , Competition , Consumer
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Class action overhaul?

The government is considering wholesale reform of consumer class actions—the ‘opt-out’ collective claims certified by the Competition Appeals Tribunal (CAT)

The Law Commission, which advises the government on law reform, will begin work on the project in the autumn, assessing how to improve access and distribution of damages while maintaining proportionate costs. It has invited lawyers and other stakeholders to complete an initial scoping questionnaire by 30 October.

The Commission will assess whether certain sectors are disproportionately targeted by litigants, evidence of pent-up demand for opt-out consumer claims, and whether opt-out claims are vulnerable to being exploited and creating a litigation culture.

It will look at the benefits and risks involved, funding, costs, settlement, the definition of ‘consumer law claim’ and ‘class’, and whether the regime should allow ‘opt-in’ as well as ‘opt-out’ claims.

Martyn Day, co-president of the Collective Redress Lawyers Association (CORLA), described the project as ‘a timely and important step towards closing the UK’s justice gap.

‘At present, the avenues open for large groups of individuals with the same claim to take legal action against companies are limited, so a mechanism that makes it much easier for those groups of individuals to club together makes great sense. It is also a step in the right direction in terms of us not being left behind by our continental European neighbours who are implementing the EU Representative Actions Directive that allows opt-out cases to be brought on behalf of consumers.’

Jeremy Marshall, chief investment officer at third-party funder Winward Litigation Finance, said: ‘For it to work in practice, it is vital that the government recognises and protects the role of litigation funding, without which these claims can’t be brought. They should have a good look at how funders and consumer groups have worked collaboratively in Australia.’

MOVERS & SHAKERS

Shakespeare Martineau—Marie Bourke

Shakespeare Martineau—Marie Bourke

Shakespeare Martineau strengthens Sheffield regulatory practice with new hires

Sackers—Louise McRae & Annabella Hwang

Sackers—Louise McRae & Annabella Hwang

Sackers recruits new associates

McHale & Co—Shaun Little & Patrick Byrne

McHale & Co—Shaun Little & Patrick Byrne

Firm bolsters senior team with head of corporate and head of employment

NEWS
A wide-ranging Civil Way column highlights developments from insolvency procedure to employment law, but one case stands out for its lessons on bankruptcy, family homes and digital communications
A sprawling Intellectual Property Office battle between House of Fraser and Frasers Property has delivered a masterclass in modern trade mark law
Courts in England and Wales and Singapore are increasingly confronting complex disputes over international child relocation as families become more globally mobile
The government’s long-awaited family law reform consultation could mark a turning point for domestic abuse victims navigating financial remedy proceedings, but significant challenges remain
A new commercial court pilot giving the public access to documents used in hearings, including expert reports, is raising difficult questions about transparency and privacy
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