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Civil Litigation Section

Victims of catastrophic injury risk being under-compensated

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MPs warn that the government must learn more about how people invest vital compensation from catastrophic injury before they change how pay outs are calculated. 

A warning from MPs that the government must learn more about how people invest vital compensation from catastrophic injury before they change how pay outs are calculated has been strongly endorsed by the Law Society.

The warning came in response to government proposals to change the method for setting the rate under which compensation for victims of serious injury is calculated amid fears this will lead to people with life-changing injuries receiving less.

Law Society vice president Christina Blacklaws said: ’A regular review of the discount rate clearly makes sense, but government proposals to change the rate must not undermine the key principle that those affected should get 100 per cent of the compensation they are owed.

’We are very pleased MPs on the commons justice select committee are aligned with us on so many key points on this issue. Vulnerable people are the ones that are impacted by changes to the discount rate and it is essential there is a strong evidence base before changes are made to the method of setting the rate.

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