FOIL Update – LASPO Review

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The anticipated Post-Implementation Review of Part 2 of LASPO was published by the MOJ on 7 February. The government considers that, in general, the reforms introduced by the Act, including non-recoverability of success fees and ATE premiums; QOCS; the introduction of DBAs; a more robust Part 36 regime, and the banning of referral fees, have achieved the principal aim of reducing the costs of civil litigation: the independent analysis carried out by Professors Fenn and Rickman to inform the review shows a reduction in base costs of around 8-10% in real terms for claims including clinical negligence. High level data on volumes of court claims also suggests a slight reduction “consistent with the government’s objective of reducing unmeritorious claims”.