Most civil claims valued up
to £100,000 issued on or after 1st October 2023 will be subject to a new fixed
recoverable costs (FRC) system.
Under the new rules, cases
valued up to £25,000 will be allocated to the fast track, and
less complex cases under £100,000 will be allocated to a
newly created, separate intermediate track.
However, the regime will only
apply to personal injury claims, where the cause of action has
accrued on or after 1st October 2023 and disease claims, where the
letter of claim has not been sent to the defendant before this
date.
The extension of the FRC
system aims to make costs fairer and more transparent and the litigation process more
efficient, although it is likely that there will be a possibility
of satellite litigation over track allocation and the complexity
bands.