INNOCENT accident victims will suffer if Government proposals to reform funding for personal injury cases go ahead, claims a legal executive in Huddersfield.
A survey of 100 claimant personal injury lawyers suggests that 94% thought the reforms would have a significant impact on their business.
The survey by law referral service Contact Law, suggests personal injury solicitors will be less likely to offer no-win no-fee agreements as a result of the changes.
The Government is proposing to cap success fees – which compensate solicitors for the risk of taking on no-win no-fee cases – at 25% of compensation and will be taken from an accident victim’s damages rather than from the losing defendant as at present.
Likewise, claimants will no longer be able to recover after the event insurance premiums from losing defendants and will have to pay for it themselves.
At the moment, an injured person awarded £10,000 receives that amount.
Janet Watson, senior legal executive with solicitors Ridley & Hall in Huddersfield, said: “Ken Clarke, the Secretary of State for Justice, says that he is trying to stamp out the compensation culture and criticises so called “fat cat” lawyers. But the Government’s proposals will mean that innocent victims of accidents may find it harder to get a solicitor to act for them and then will receive less than they do at the moment.”
