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Written question asked by Oliver Ryan (Labour) on Monday, 18 May 2026, in the House of Commons. It was due for an answer on Wednesday, 20 May 2026. It was answered by Sarah Sackman (Labour) on Tuesday, 26 May 2026 on behalf of the Ministry of Justice.

Financial Services: Regulation

Question

To ask the Secretary of State for Justice, with reference to the Civil Justice Council’s review of litigation funding to strengthen protections for consumers, whether she plans to extend Financial Conduct Authority regulation to cover portfolio-based litigation funding.

Answer

The Government welcomes the Civil Justice Council’s (CJC) review and is carefully considering all its recommendations.

As announced on 17 December 2025, the Government’s priority is to implement the CJC’s two primary recommendations: to clarify that Litigation Funding Agreements (LFAs) are not Damages-Based Agreements, and to introduce light-touch regulation of LFAs. Once this work has been completed, we will consider the CJC’s remaining recommendations, including those relating to portfolio funding, in more detail. We will provide further information in due course.

Secondary information

Type
Written question
Reference
2667
Session
2026-27
Transferred
Yes
Subjects
Consumers Civil proceedings Financial services Legal costs Protection Regulation
Link
View this Written question on www.parliament.uk