GUIDELINE HOURLY RATES, PORTAL FEES AND FIXED RECOVERABLE COSTS: THE FIGURES

All figures throughout are NET of VAT.

CURRENT GUIDELINE HOURLY RATES

The Guideline Hourly Rates for 2014 remain the same as the Guideline Hourly Rates for 2010.

These rates are as follows:-

A full list of the areas covered by the categories (London 1, London 2, London 3, National 1, National 2 and National 3) can be found here.

CURRENT PORTAL FEES

Pre 30 April 2013

Post 29 April 2013

The post 29 April 2013 road traffic accident fees are:-

(The Civil Procedure (Amendment No. 3) Rules 2013, SI 2013 No 789 (L.7))

The post 30 July 2013 fees are:-

In both portals the Stage 1 fee is payable 10 days after receiving the Stage 2 Settlement pack and the Stage 2 fee is payable 10 days after settlement is agreed.

FROM PORTAL TO FIXED RECOVERABLE COSTS

With effect from 31 July 2013 any case, except an Industrial Disease case, exiting any portal goes in to a new Fixed Recoverable Costs scheme and those Fixed Recoverable Costs are as per the table below.

Alone, industrial disease cases exiting the portal will go straight to open, standard costs and cannot be the subject of Fixed Recoverable Costs outside the portal.

A pre-31 July 2013 RTA portal case that is where the CNF was issued before 31 July 2013 that exits the portal now goes to the old so-called Predictable Costs Scheme which will soon wither on the vine.

Fixed recoverable costs for RTA, EL and PL claims falling out of the RTA and EL/PL protocols

NOTES

Stage 3 Hearings

In all cases in all portals, whatever the value of the claims, the Stage 3 fee is £250 for a paper hearing and £500 for an oral hearing.

All fixed costs at all stages are exclusive of VAT.

Type A, B and C fixed costs

Type A

Type A fixed costs are the legal representative’s Stage 3 costs for a paper hearing and in the Road Traffic Accident portal are £250.00 plus VAT.

In the Employers Liability and Public Liability portal which came into place on 31 July 2013, Type A fixed costs are £250.00 plus VAT.

Type B

Type B costs are additional advocate’s costs for conducting an oral Stage 3 hearing and are also £250 for Road Traffic Accident portal cases and are the same for the Employers’ Liability and Public Liability portals, giving a total fee of £500 for an oral Stage 3 hearing in all portals.

Type C

Type C fixed costs are the costs for the advice on the amount of damages where the claimant is a child and are £150 in the Road Traffic Accident portal and are the same in the new Employers’ Liability and Public Liability portals.

Note that neither of the portals applies to protected parties within the meaning of CPR 21.1(2), for example a person lacking capacity within the meaning of the Mental Capacity Act 2005 (paragraph 4.3(2) of the EL and PL portal and paragraph 4.5(2) of the new RTA portal).

Although children are dealt with in CPR 21 they are not protected parties. The heading of CPR 21, and the term used throughout, is Children and Protected Parties. (My emphasis).

Note also that while both the portal and the Fixed Recoverable Costs Scheme allow for an additional fee in relation to a matter involving a child there appears to be no provision for such an additional fee if the matter is settled after exiting the portal but before proceedings are issued.

There appears to be nothing to stop a claimant issuing proceedings while the matter is still in one of the portals, provided that the appropriate time has expired since lodging the Claim Notification Form, which stands as the Letter of Claim.

Claimants may wish to do this in children cases to avoid the lacuna whereby no additional fee is payable in a child case where the matter has exited the portal but not yet been issued.

London enhancement

The 12.5% uplift continues to apply where the claimant lives or works in certain areas of London – see below.

Road Traffic

Post 30 July 2013

On 31 July 2013 the road traffic portal was extended to cover claims up to £25,000, but only where the accident occurs on or after 31 July 2013 for claims between £10,001 and £25,000. (Paragraph 1.2(1)(a) and (b) of the new RTA protocol).

The trigger for road traffic accidents between £1,000 and £10,000 entering the portal is that the accident occurred between 30 April 2013 and 30 July 2013 inclusive.

On 31 July 2013 the new portal was introduced covering Employers’ Liability and Public Liability claims up to £25,000.

KEY DATES: ALL PORTALS

Road Traffic

£1,000 – £10,000

£10,001 – £25,000

Employers’ Liability and Public Liability except industrial diseases

 Industrial diseases

Advocacy

The advocacy fee is a fixed add-on to the fee for the stage reached. This will often be at the end of the whole process, but could be at any post-issue stage, for example a quantum hearing post allocation but pre-listing where liability is admitted.

Otherwise you get what is in the box. The figures are most certainly NOT cumulative. All figures carry VAT on top.

Escape

In relation to escaping fixed fast track costs, the claimant must succeed in recovering a further 20% or more; if they fail to do so they will be liable for all of the defendant’s costs of dealing with that application. This is the same test as in relation to the existing fixed costs scheme and for all intents and purposes I expect that there will never be such an application. Remember also that even if the case is outside the portal, or is removed from the portal, and does not fall within the fixed fast track costs system any bill of costs of £75,000 or under will be subject to paper assessment and not detailed oral assessment.

If the claimant fails to achieve a further 20% then the claimant receives the lower of the sum as assessed or Fixed Recoverable Costs. (CPR 45.29K as amended by

The Civil Procedure (Amendment No.6) Rules 2013).

No doubt there will be cases which should properly be heard in the multi track, rather than the fast track, even though valued at £25,000 or less. However if this is perceived to have been done for costs reasons then the solicitor will be hit hard, the likely outcome being that as a solicitor you will be ordered personally to pay full indemnity costs to the defendant, even when the claim has been wholly successful.

Remember that personal injury cases of all kinds are subject to qualified one way costs shifting and the courts will be reluctant to move a case out of the fast track system into the multi track system when on the face of it the claimant will be at no risk of costs, and stand to gain a much higher award of costs than if the matter had remained in the fast track.
On the face of it Qualified One Way Costs Shifting applies, and so unless a Part 36 offer has been made in the assessment proceedings a claimant is free to have a go without the risk of a costs penalty. Paying parties are advised always to make a Part 36 offer in such circumstances.

For full details on Guideline Hourly Rates and Portal costs, see my blogs

Fixed Costs, All the Portals and Fixed Recoverable Costs

Guideline Hourly Rates – CJC Costs Committee’s Recommendations Rejected