Departure from Guideline Rates not justified (even on the indemnity basis)

In Eurohome UK Mortgages 2007 1 Plc & Ors -v- Deutsche Bank AG, London Branch & Anor [2022] EWHC 2408 (Ch) the court ordered the Third Claimant (‘C3‘) to pay the Defendants’ costs on the indemnity basis. The judge summarily assessed the costs.

The costs related to an application by the Defendants to strike out the claim. The basis of the application was that, in part, that C3 had no standing in the proceedings. C3 did not engage with the application, serve evidence, or attend the hearing. Accordingly, the court ordered that C3 pay the Defendants’ costs on the indemnity basis.

The Defendants claimed costs of £72,287 for the application. The Defendants’ solicitor claimed an hourly rate of £710 per hour as against a guideline rate of £512. Considering the rates Mr Justice Miles held that:-

These are guidelines and are not fixed but they are an important starting point. I do not think this is a case of such complexity to justify a departure from the guideline rates.

Para 49

Following the increase to the guideline hourly rates in 1 October 2021, courts have been much less willing to allow uplifted rates. Solicitors should be prepared to factor this into their advice to their clients.

Matthew Rose is a Solicitor in the Costs and Litigation Funding department. You can contact the team at

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