Some £3.7m unclaimed from a class action settlement will be spent on free legal advice as part of a new grants programme announced by the Access to Justice Foundation today.

The foundation is able to redistribute £3.7m from the boundary fares class action settlement because, under the Consumer Rights Act 2015, it is the nominated recipient of unclaimed damages awarded in opt-out collective proceedings at the Competition Appeal Tribunal. 

Announcing its Improving Lives Through Advice 2026 programme today, foundation chief executive Clare Carter said: ‘Unclaimed damages from collective actions represent a significant opportunity to strengthen access to justice. This programme allows us to channel unclaimed funds into frontline advice organisations, helping to ensure that the outcomes of collective redress are felt by the communities most in need.’

Other funding sources, such as a pro bono costs order last month, have been added to take the pot's total amount to £3.9m.

Competition Appeal Tribunal

Source: Alamy

Grants will be awarded to organisations delivering services in London, the south east of England, Scotland and Wales. The foundation said these regions were selected according to where class members of the class action are based, the areas that face the most persistent gaps in access to free legal advice, and where few or no grants have been distributed.

The three-year grants programme is ‘unrestricted’, which means recipients can use their funding for any activity that falls within their charitable objects as opposed to a specific project. For instance, the cash could be spent on day-to-day running costs.

The application window opens on 16 February and closes on 16 March. Grants will be awarded from June. The foundation said it will assess applications based on priorities including applicants’ commitment to dismantling barriers to access to justice, the strength of their connections in communities, quality of their services and their commitment to demonstrate the impact of the cash they receive.