The costs budgeting sanctions imposed on Andrew Mitchell MP in his libel action against The Sun newspaper over “plebgate” has leapfrogged to the Court of Appeal.
The high-profile case, Mitchell v NGN [2013] EWHC 2179 (QB), which centred on what was or was not said by the former Chief Whip as he attempted to cycle through the Downing Street gates, was also significant on costs because it applied new rules implementing Lord Justice Jackson’s recommendations.
It will now be heard by three of the five Lord Justices appointed to hear Jackson-related challenges.
Mitchell’s lawyers failed to file a costs budget in time, as required of both parties. Consequently, the court exercised its powers under CPR 3.13 to treat Mitchell’s lawyers as having filed a budget comprising only the court fees, of about £2,000. Costs for such a case could reach £500,000.
Mitchell’s lawyers applied for relief from the sanctions imposed.
Refusing this, Master McCloud said: “Budgeting is something which all solicitors by now ought to know is intended to be integral to the process from the start.”
Given the severity of the sanction and the lack of authority available, Master McCloud granted permission for appeal.
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