The New Civil Procedure Rules Explained

On 1 April 2013, major changes to civil procedure in England and Wales came into force.

Known as the ‘Jackson Reforms’, they aimed to reduce disproportionate litigation costs and improve access to justice. The reforms reshaped allocation, expert evidence, disclosure, costs management and conditional fee agreements. This guide summarises the key changes.

The Spirit of the Reforms

The reforms place proportionality and cost control at the centre of civil litigation. Costs are no longer something addressed only at the end of a case; they must be managed from the outset.

A new overriding objective

The CPR’s overriding objective now requires courts to deal with cases justly and at proportionate cost, including enforcing compliance with rules and orders (CPR 1.1(2)(f)).

Part 1: Allocation, Experts, Disclosure and Relief from Sanctions

Allocation

• Small claims limit increased to £10,000 (personal injury remains capped at £1,000).
• Courts may now allocate a claim to a lower track without party consent.
• Allocation Questionnaires abolished and replaced with Directions Questionnaires.

Experts

Where multiple experts give live evidence, they may do so as a panel, with the judge chairing the discussion. Advocates question experts only after the panel discussion ends.

Disclosure (multi‑track, non‑PI)

Significant changes apply to multi‑track claims not involving personal injury:

• Parties must file a disclosure report (documents, location, and estimated costs of standard disclosure) 14 days before the first CMC.
• Parties must agree disclosure proposals 7 days before the CMC.
• If they cannot agree, the court will decide, applying proportionality.
• Standard disclosure remains for fast track and PI multi‑track claims.

Relief from sanctions

CPR 3.9 was rewritten. Courts now focus on:

• The need for litigation to be conducted efficiently.
• The need to enforce compliance with rules and orders.

The previous list of discretionary factors was removed.

Part 2: Costs and Damages

Costs budgets

• Parties must file costs budgets (endorsed with a statement of truth).
• Failure to file a budget results in a default budget of court fees only (CPR 3.14).

Costs management

Applies to most multi‑track claims unless the value exceeds £2 million in certain specialist courts (TCC, Mercantile, Chancery). Courts may opt in or out.

Parties must exchange budgets before the first Costs Management Conference. The court may make a costs management order, approving or amending budgets and controlling recoverable costs throughout the case.

Costs capping

Costs capping orders limit recoverable costs in advance. They are granted only in exceptional circumstances, where:

• It is in the interests of justice, and
• There is a substantial risk of disproportionate costs.

General damages

General damages for pain and suffering, loss of amenity, physical inconvenience, social discredit and mental distress increased by 10% for judgments from 1 April 2013 (except where the CFA was entered into before that date).

Inter partes costs

Standard basis assessment now emphasises proportionality. CPR 44.3(5) sets out factors including value, complexity and importance.

Parties cannot recover more than their last agreed budget unless there is a good reason (CPR 3.18).

Part 36

For claimant Part 36 offers made on or after 1 April 2013:

• If the claimant beats their own offer, they receive an additional 10% of damages (or costs if no damages).
• For damages over £500,000, the uplift is capped at £75,000.

Part 3: Referral Fees, CFAs and Other Liabilities

Referral fees

LASPO 2012 (ss. 56–60) abolished referral fees for legal services to reduce “compensation culture”.

Conditional Fee Agreements (CFAs)

• Success fees remain permitted up to 100%, but in personal injury claims they are capped at 25% of damages (excluding future loss).
• This protects claimants from losing excessive damages to legal fees.

Other liabilities

Under LASPO:

• Insurance premiums and notional premiums are generally irrecoverable (ss. 46–47).
• Exceptions: insolvency, publication/privacy, diffuse mesothelioma.
• In clinical negligence, only the cost of insurance covering expert reports on causation or liability is recoverable (not the report itself).

Rebecca Broadbent hopes to develop a broad civil practice before specialising in civil actions against the Government.