A working group of lawyers and judges has given provisional backing to proposals for a new costs band for solicitors to claim higher rates.
The majority of the working group of the Civil Justice Council said there were sufficient grounds to push forward with plans for the extra level of guideline hourly rates. If introduced, the new higher band would sit above, and not redraw, the existing GHR bands, although there was no indication from the working group what amounts could be charged under this band.
The working group has also supported a proposal for guideline hourly rates for assessing counsel fees, saying this is both ‘possible and desirable’.
The two proposals were identified by the Civil Justice Council in its 2023 costs review as short-term improvements to the GHR structure. A new higher band could reflect rates in extremely complex, high-value commercial work, the review said, while allowing counsel’s fees to be assessed by reference to guideline rates would mean barristers were not treated differently in principle from solicitors in costs assessment.
A consultation opened yesterday and will close on 19 January.
The working group, chaired by Lord Justice Miles, was created in 2024 to consider the outstanding recommendations made by the CJC costs review.
On the creation of a Band 1A, the majority in the working group considered that if there was sufficient evidence that higher rates are being charged and agreed for extremely complex work, this should be reflected in a higher band. A minority of members said the existing regime allowed for uplifts in exceptional cases and were concerned that the higher rate would adversely affect access to justice.
The proposed definition of Band 1A is ‘extremely complex, high value commercial and corporate litigation’. The current top rate is London1, set at £579 for solicitors and legal executives with more than eight years’ experience.
On the issue of guideline rates for counsel fees, the group acknowledged that barristers’ brief fees and refreshers are usually a negotiated lump sum reflecting more than a simple multiple of the number of hours expected to be worked in preparation for, or during, a hearing.
Members stressed that accompanying text to the GHRs should make clear that the rates may help inform, but would not necessarily dictate, what a reasonable brief fee or refresher rate may be.
The Senior Courts Costs Office has not offered any guideline fees for counsel since 2009 and fees are usually assessed in respect of each item of work barristers have undertaken.
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