In a move which will affect both Claimants and Defendants, the Court of Appeal has confirmed that general damages in most civil cases will increase by 10% from 1st April 2013.

The rise will only apply to those cases where judgment is given after 1st April 2013 even where the loss is suffered before that date. The change will affect cases in which damages for pain, suffering and loss of amenity in respect of personal injury are awarded, as well as all other torts which cause suffering, inconvenience or distress to individuals.

The increase is made in the context of Lord Justice Jackson’s review of civil litigation costs and the Legal Aid Sentencing and Punishment of Offenders Act 2012 which will predominantly come in to force in April 2013.

It is designed to help off-set the risk posed to Claimants by Lord Justice Jackson’s recommendations to abolish the recoverability of Conditional Fee Agreements (also known as “no win-no fee” agreements) success fees and after-the-event insurance premiums which were hitherto recoverable from an opponent in the event of a successful outcome.

If you would like further information about pursuing or defending a claim to recover damages please contact a member of our Dispute Resolution team.