We are constantly told that there is a compensation culture, that it is a bad thing and along with fraud, the main reason for the Chancellors proposal to both increaser the small claims limit and ban financial damages for whiplash.
How ironic then that in the same Autumn Statement, George Osborne also proposed that there should be an “..automatic right to compensation..” for any train passenger whose journey is delayed by more than 30 mins.
The Government has responded to the petition you signed – “Keep the small claims track limit for personal injury claims at £1,000.00”.
The Government is concerned about the number of whiplash claims and the impact on premiums. Therefore we announced new measures to control costs, including raising the small claims limit to £5,000.
Representatives from the MoJ have been meeting various industry groups. one of the most interesting was with APIL.
The following is a summary of the discussion:
Q1: Can you be clear about whether the increased small claims court limit would apply to RTA, whiplash, or all claims? The Autumn Statement was very vague.
A: We haven’t yet made that decision. APIL should get its thoughts on this to the MoJ by the end of January.