The Civil Procedure Rule Committee’s Annual Open Meeting on 8 May 2026 provided useful insight into the Committee’s current thinking on civil costs. Whilst no immediate rule changes were announced, a number of important costs issues were discussed, highlighting the CRPC’s approach to future reform.
Key Costs Issues Discussed
- Mazur
The Committee was asked whether it intended to amend the CPR following the Court of Appeal’s decision in Mazur, particularly regarding the definition of ‘legal representative’. The Committee indicated that it wishes to observe how the industry responds to the decision before proceeding with any intervention.
- Costs Budgeting (Precedent H)
The meeting addressed uncertainty surrounding CPR 3.15(5)(a), specifically on whether the £1,000 or 1% cap applies only to the first draft of a Precedent H or also covers subsequent revisions prior to the first CCMC.
Master Sullivan confirmed that the intention is for the cap to cover the preparation of the budget, which is presented at the costs management hearing. She acknowledged that the wording could be clarified and suggested that the CPRC should consider whether any amendments are required.
Those in practice will know that there are occasions when multiple versions of the initial budget are required before the matter proceeds to a CCMC, which causes tension with the current wording of the CPR and fee caps which can only be lifted in exceptional circumstances.
- Bill Certification
Following Mazur, the Committee was asked whether the certification of a bill of costs should be extended to other authorised legal professionals such as CILEX practitioners, Costs Lawyers and barristers with the relevant rights.
The CPRC indicated that when the overall consequences of Mazur become clear, it will consider whether any rule changes are required. Therefore, the current process is preserved.
- Fixed Recoverable Costs (FRC)
Several concerns were raised about the operation of the extended FRC regime:
- Clinical Negligence FRC – No update was provided on extending FRC to lower-value clinical negligence claims. The Committee confirmed that this remains a matter for the Department of Health and Social Care, indicating that there will be no imminent procedural changes.
- Fast Track – v – Intermediate Track Costs – Concerns were raised about the potential for higher recoverable costs on the Fast than Intermediate Track due to differences in staging and case types. Mr Justice Trower clarified that the structure of the two tracks is based on proportionality rather than linearity, meaning that the figures correspond to how each track is intended to operate rather than forming a single ascending scale. The two tracks constitute separate frameworks designed to provide predictable fixed costs within their respective scope and that their differing outcomes arise from their distinct structures, rather than from inadvertence.
- Intermediate Track Band 1 – Specific concerns were expressed about the low costs recovery for liability-admitted personal injury claims in Intermediate Track Band 1. Mr Justice Trower indicated any reform will depend on the government’s consideration of the Fixed Recoverable Costs stocktake and forthcoming post-implementation review.
- Interim Application Costs under FRC – It was suggested that the current fixed costs for interim applications no longer reflect the reality of practice, as many now require extensive preparation, contested hearings and advocacy. As a result, the fixed recoverable amounts often fall short of the work involved. The Committee advised that these concerns would be considered as part of the broader post-implementation review.
- Further FRC Issues – Questions were raised in relation to late acceptance of Part 36 offers under FRC, as well as the specific issues outlined in Attersley v UK Insurance Limited [2026] EWCA Civ 217, and inconsistent judicial allocation of cases to Complexity Bands. It was advised that these issues will be considered/responded to out-of-committee.
Although no immediate reforms were announced, the meeting demonstrated that the CPRC is monitoring the recent costs reforms made. The Committee’s current approach seems to be to allow recent developments to settle prior to considering further procedural amendments, with many of the issues raised expected to be considered by the
Angela Nako is a Paralegal in the Costs and Litigation Funding Department at Clarion Solicitors. You can contact the team at civilandcommercialcosts@clarionsolicitors.com.