600% increase for bringing money claims to court?

9 March 2015

judge The Government confirmed a couple of months ago, that the fee for issuing a money claim for anything worth more than £10,000 would be increased to 5% of the sum claimed, which has left one lobbying group outraged at the "astonishing" fee increases of up to 600%.

Under these new rules, for example, fees on a claim worth £300,000 have been raised to £8,080, where it would have once been £1,920. That's a rise of 421%.

Director of policy at the British Chambers of Commerce, Adam Marshall, said: "We remain concerned that a lot of companies in supply chains could be dissuaded from using the courts to resolve long running late payment disputes."

"At a time when the situation seems to be getting worse not better, restricting access to one potential remedy is not encouraging."

The Government won't be raising the cost of getting a divorce and other fee reforms, mercifully. Justice Minister Shailesh Vara said: "Access to justice is a fundamental principle of our legal system and this is not threatened. 90% of the claims will be unaffected by these changes and waivers will also be available for those who cannot afford to pay. Our courts play a critical role and it is important that they are properly funded."

"It is only fair that businesses and individuals who can afford to pay and are fighting legal battles should contribute more in fees to ease the burden on hardworking taxpayers."

"Court fees are a small fraction of the overall cost of litigation and Britain's reputation for having the best justice system in the world remains intact."

TOPICS:   Banking

2 comments

  • WARWICK H.
    Britain’s reputation for having the best justice system in the world remains intact.” Justice Minister Shailesh Vara said What a joke, what planet does this numbskulls live on ?
  • Albi
    The problem is companies using the courts as a cheap debt collection service. You just pay £25 for the claim and most people will pay up. If they defend you just jack in the case and you're only £25 down.

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