The Government has been taking steps to reduce not only the number, but the value of Personal Injury claims and as part of this had planned to increase the upper limit of small claims from £1,000 to £5,000.
If introduced this change would have meant that anyone with a claim between £1000 and £5,000 who had sustained an injury in a road traffic accident would not be entitled to any of their legal costs! This cost is typically met by the party at fault, or their insurance company. This would have affected many injured persons accessing justice and receiving the compensation that they rightly deserve as a result of injuries sustained in any road traffic accident.
The Government have stated that "now is not the right time to raise such limit" and decided to defer any increase until they can determine the impact of the reforms which took place earlier this year. This is pleasing news and will enable victims of road traffic accidents to contine receiving the compensation they deserve.
We don't know when the Government will review the small claims limit again so if you have been injured in a road traffic accident through no fault of your own, get in touch to find out how we can help you on the road to recovery.
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