header-logo header-logo

04 May 2017
Issue: 7744 / Categories: Legal News
printer mail-detail

Fixed costs for clinical negligence?

Lawyers attack government proposals but survey shows overwhelming public support

Government proposals for fixed costs in clinical negligence claims worth up to £25,000 would make only the most straightforward cases commercially viable, leaving many vulnerable patients without a legal remedy, lawyers say.

About 34% of the £1.5bn paid out by the NHS in clinical negligence costs in 2015/16 went on legal costs. The Department of Health (DoH) proposals are contained in its consultation, Fixed recoverable costs for clinical negligence claims, which closed on 2 May.

In its official response to the consultation, law firm Hodge Jones & Allen said the proposals were ‘based on inaccurate cost estimates, fanciful time analysis and flawed logic, including the false premise that lower value claims are by nature less complex, the view that sufficient expert evidence in such cases can be obtained for under £1,200 and that particulars of claim in complex cases can be drafted by junior fee earners’.

Association of Personal Injury Lawyers president Neil Sugarman said: ‘Taking an axe to how much the Department of Health pays does nothing to tackle the factors which drive costs, such as the ludicrously long waiting times for the recovery of medical records, or arduous expert reports.’

However, a survey commissioned by the Medical Protection Society (MPS) found that three-quarters of the public want the government to reduce the amount of money lawyers can claim from the NHS in legal costs, and 81% supported ‘fixed costs’.

The MPS has called on the government to go further to preserve NHS funds, and to impose fixed costs on cases valued at up to £250,000.

Emma Hallinan, director of claims at the MPS, said: ‘In lower value claims it is not unusual to see lawyers’ costs exceed the compensation awarded to claimants.

‘In a recent case involving a delayed diagnosis of a pituitary tumour which settled at £3,250, legal costs of £72,320 were sought. That was reduced to £24,600 after a provisional assessment last summer, which found that the bill was disproportionate.’

Any official response to the consultation will be decided by the new government formed after the 8 June election.

Issue: 7744 / Categories: Legal News
printer mail-details

MOVERS & SHAKERS

NLJ Career Profile: Jasmine Olomolaiye, Foot Anstey

NLJ Career Profile: Jasmine Olomolaiye, Foot Anstey

Jasmine Olomolaiye, partner at national law firm Foot Anstey, discusses the power of reading and the dizzying heights of her dream career

Freeths—Christopher Stephens

Freeths—Christopher Stephens

Strategic land specialist joins real estate practice as partner

Shakespeare Martineau—Jonathan Pawlowski

Shakespeare Martineau—Jonathan Pawlowski

Construction practice strengthened by partner hire in London

NEWS
Freezing orders in divorce proceedings can unexpectedly ensnare third parties and disrupt businesses. In NLJ this week, Lucy James of Trowers & Hamlins explains how these orders—dubbed a ‘nuclear weapon’—preserve assets but can extend far beyond spouses to companies and business partners 
A Court of Appeal ruling has clarified that ‘rent’ must be monetary—excluding tenants paid in labour from statutory protection. In this week's NLJ, James Naylor explains Garraway v Phillips, where a tenant worked two days a week instead of paying rent
Three men wrongly imprisoned for a combined 77 years have been released—yet received ‘not a penny’ in compensation, exposing deep flaws in the justice system. Writing in NLJ this week, Dr Jon Robins reports on Justin Plummer, Oliver Campbell and Peter Sullivan, whose convictions collapsed amid discredited forensics, ‘oppressive’ police interviews and unreliable ‘cell confessions’
A quiet month for employment cases still delivers key legal clarifications. In his latest Employment Law Brief for NLJ, Ian Smith reports that whistleblowing protection remains intact even where disclosures are partly self-serving, provided the worker reasonably believes they serve the ‘public interest’ 
Family law must shift from conflict-driven litigation to child-centred problem-solving, according to a major new report. Writing in NLJ this week, Caroline Bowden of Anthony Gold outlines findings showing overwhelming support for reform, with 92% agreeing lawyers owe duties to children as well as clients
back-to-top-scroll