Litigant in Person Costs – CPR 46.5(4) sets out how the costs will be calculated, and this is either by reference to: proven financial loss, or the amount for the time reasonably spent on doing the work at a fixed rate, currently £19 per hour. Consideration is being given whether to increase the rate from £19 per hour.
Costs Budgeting Light – A new Precedent form to be introduced, the Precedent Z and accompanying guidance note. The guidance will account for existing information in the Chancery Guide. We suspect this will include reference to seeking permission to the filing and service of an updated budget before any ‘Cost Management Order’ is made. Para 6.35 of the Chancery Guide says:
6.34 In the B&PCs where costs budgets are required (see CPR 3.12 and 3.13), they must be filed and exchanged not later than 21 days before the first CMC / CCMC (CPR3.13(1)(b)) unless the court orders otherwise.
6.35 However, costs budgets may become out of date if a CMC / CCMC is relisted or adjourned. In such cases, if permission has not already been given, it may be appropriate to seek permission to serve an updated costs budget before any CMC / CCMC or relisted CMC / CCMC. (See also paragraphs 6.67 and 6.74 in relation to budget revisions after a costs management order has been made.)
No further details provided but the expectation is this could be implemented as early as April 2025.
There will be two, new costs budgeting pilots which will cover (a) cases in the Business & Property courts and (b) certain other cases valued under £1m.
The BPC pilot will cover the BPC of England & Wales (i.e. the Rolls Building), at least two BPC District Registries and cover BPC work in the county court at the same District Registries. Given HHJ Bird (the Designated Civil Judge, Senior Circuit Judge at Manchester) is steering the pilot schemes, we suspect that Manchester District Registry will be one of the District Registries the Pilots will apply to. The under £1m pilot will operate in at least two District Registries.
There is work on-going for a further Pilot scheme for QOCS cases.
Each Pilot maintains the exclusions set out in CPR 3.12 (including claims valued at £10m or more and claims brought by children) with the intention of limiting the changes. It should mentioned that this appears to back-peddle from previous discussions on the topic. Reference is made to the CPRC mins of 7 June 2024 at para 44; ‘HHJ Bird, explained that the Sub-Committee has prepared a new draft PD, which includes claims with a value of over £10m, unless the court decides to exclude them. The present rules exclude such claims unless the court decides to include them’.
The BPC pilot provides (as a default position) for:
– The new Precedent form to be filed in all cases by represented parties
– no costs management in cases valued at or more than £1m
– costs management using the new Precedent form in cases valued at less than £1m