Jackson reforms on costs budgeting—one year on [Archived]
Jackson reforms on costs budgeting—one year on [Archived]

The following Dispute Resolution guidance note provides comprehensive and up to date legal information covering:

  • Jackson reforms on costs budgeting—one year on [Archived]
  • What we have learnt—Precedent H
  • Looking forward—Precedent H
  • What we have learnt—costs budgeting and exemptions
  • Looking forward—costs budgeting and exemptions
  • What we have learnt—filing and exchanging the costs budget
  • Looking forward—filing and exchanging the costs budget
  • What we have learnt—failure to file a costs budget
  • Looking forward—failure to file a costs budget
  • What we have learnt—revising costs budgets
  • more

ARCHIVED: This Practice Note is for historical purposes only.

The 1 April 2013 saw the introduction of a new approach to the costs management of litigation in England and Wales with costs estimates, in their old form, being abolished and costs budgeting being introduced. This cornerstone of the Jackson Reforms sought to ensure that courts could exercise control over the costs being expended by parties during litigation and in doing so ensure that they were reasonable and proportionate not just as to the value of the case but also that the court time was being used proportionately between all court users.

Despite the time and effort put into the Jackson Reforms it was acknowledged early on that the rules regarding exemptions needed to be considered. A consultation has resulted in amendment to the costs budgeting exemption which will come into force on 22 April 2014 together with other amendments to the costs budgeting provisions. These changes are currently in a draft SI which requires the approval of the Lord Chancellor and Parliament. However, we have been able to provide a preview of the draft rules and it is unlikely they will change before being brought into force.

In this Practice Note we look not only at what has happened in the first year of the reforms but also what changes are afoot.