Written question asked by Andrew Dismore (Labour) on Thursday, 11 November 2004, in the House of Commons. It was due for an answer on Wednesday, 17 November 2004. It was answered by David Lammy (Labour) on Wednesday, 17 November 2004 on behalf of the Department for Constitutional Affairs.

Dept for Constitutional Affairs

Question: To ask the Parliamentary Secretary, Department for Constitutional Affairs, what assessment he has made of the impact of conditional fees in personal injury cases on (a) the setting-up of specialist personal injury solicitors firms to pursue claims and (b) the willingness of claims-handling businesses to pursue claims; and if he will make a statement.

Answer: Mr. Dismore: To ask the Parliamentary Secretary, Department for Constitutional Affairs what assessment he has made of the impact of conditional fees in personal injury cases on (a) the setting-up of specialist personal injury solicitors firms to pursue claims and (b) the willingness of claims-handling businesses to pursue claims; and if he will make a statement. [198410] Mr. Lammy: In 1998 we commissioned KPMG to construct a business case showing whether a move from legal aid to Conditional Fee Agreements (CFAs) in a range of personal injury cases could result over a 10 year period in financial viability. The work suggested all law firms could maintain their business using CFAs subject to their management skills and that firms might do well if they specialised. Since then we have focused our research on the outcome for consumers of using CFAs as a form of litigation funding and a new report by Professor Fenn, Dr. Gray and Dr. Rickman is due in early 2005.

Secondary information

Type: Written question
Reference: 198410; 426 c1565W;426 c1568W
Session: 2003-04
Subjects: Compensation Damages Fees and charges Personal injury Solicitors Conditional fee agreements
Link: View this Written question on www.publications.parliament.uk