Ministry of Justice Introduces Fee Increase to Raise Additional £120m

The MoJ has made a proposal to increase court fees to 5% of the overall value of the claim for all claims exceeding the value of £10,000, this is estimated to yield an extra £120 million each year.

For example,  a claim worth £200,000 which would previously have only had fees of £1,315 will now increase by 660%  to £10,000

The ministry’s plans to increase divorce fees have been dropped, as have plans to increase fees paid by parties in commercial disputes rising to £20,000 and for the introduction of a daily hearing fee of £1000. Further consultation has been opened for extra charges of £75on possession claims  and the general application fee will rise from £50 to £100 for claims with consent and from £155 to £255 for contested claims.

Most senior judges in England and Wales have publically expressed their ‘deep concerns’ over ‘dramatic’ increases in court fees, voicing concerns about the disproportionately adverse effects on small and medium enterprises and litigants in person and about the effect on claims for unspecified sums of money such as personal injury claims.