After increasing media interest in, and tour operator concern about rising numbers of holiday sickness claims, the Ministry of Justice has now asked for rules to limit the legal costs in such cases to be looked at as a priority. These cases are outside current rules on fixed legal costs for injury and disease cases under £25,000 and – as was the case with noise-induced hearing loss claims a few years ago – it would appear reasonably likely that the spike in these cases is fairly closely related to the fact that costs aren’t restricted.
So said Lord McKenzie, Labour Peer and former DWP Minister, about claims management companies. Behaviours and regulation of this sector were debated on 5 July 2017 when the Financial Guidance and Claims Bill had its second reading in the Lords.
Just after the election result in a blog dated 9 June I referred to “a much-changed form of political calculus” because of the hung Parliament. A subsequent piece suggested that the Queen’s Speech – passed in the Commons yesterday, 29 June – might offer a clue about legislation on the personal injuries discount rate. Some recent Government developments seem to connect both those comments and are explained in the body of this post.