LEGAL COSTS UPDATES

Welcome to our costs law updates UK resource. This legal costs blog provides regular analysis of the latest case law, CPR developments, and practical guidance for solicitors handling civil litigation costs issues across England and Wales. Search our comprehensive costs law updates UK covering County Court, SCCO, High Court, Court of Appeal, and Supreme Court decisions on all costs related matters including budgeting, detailed assessment, Part 36, QOCS, and fixed recoverable costs.

Legal Costs Updates

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01
TCC awards indemnity costs for unreasonable litigation conduct including inadequate pleadings and abandoned allegations
Highly Unreasonable Conduct Forfeits Any Right to Challenge The Winner’s Costs On Proportionality Grounds
THE NEW LOTTERY COMPANY LIMITED & NORTHERN & SHELL PLC V THE GAMBLING COMMISSION [2026] EWHC 1311 (TCC)
08/06/2026
The Technology and Construction Court awarded indemnity costs across entire proceedings where claimants advanced inadequate pleadings, made serious allegations repeatedly abandoned without explanation, and pursued weak claims causing significant prejudice.…
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02
CPR Part 3 costs management hearing addressing proportionality of legal fees to expert fees in group litigation, King's Bench
High Court Cuts Claimants’ Expert-Phase Budgets, Holding Legal Fees Should Not Be ‘anywhere close to twice the amount of the expert fees’
VARIOUS CLAIMANTS V MERCEDES-BENZ GROUP AG AND OTHERS [2026] EWHC 1335 (KB)
04/06/2026
The court rejected a costs budgeting structure in which combined legal fees approached twice the expert fees, holding that such a ratio was disproportionate. A methodology of doubling approved expert…
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03
CPR 3.18 good reason to depart from approved costs budget analysis in County Court costs assessment case
Consequences Of “Over-Egging” A Claim At The CCMC | Court Engages The CPR 44.3(2)(a) Proportionality “Safety Valve” As Good Reason To Depart Downwards From The Approved Budget Under CPR 3.18
O’SULLIVAN V TRADING 212 UK LIMITED [2026] EWCC 32
03/06/2026
The County Court at Central London addressed whether good reason existed under CPR 3.18 to depart from approved costs budgets where a modest claim generated disproportionate costs, excessive hourly rates…
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04
CFA enforceability under section 58(4)(b) Courts and Legal Services Act 1990: rounding variations and materiality test in Chancery
Court Upholds Discounted CFAs Where Rounding Added Just £1,678 To A £2 Million Bill
SELADORE LEGAL LIMITED V PGMBM LAW LIMITED (TRADING AS POGUST GOODHEAD) [2026] EWHC 1305 (Ch)
01/06/2026
Master Pester held that discounted conditional fee agreements stating that uplifted rates “represent 170% of the standard fee rates (subject to rounding)” literally complied with section 58(4)(b) of the Courts…
05
Part 36 offer comparison in multi-issue litigation under CPR 36.17, Chancery Division partnership dissolution case
Competing Part 36 Offers In Multi-Issue Litigation | Like-for-Like Comparison Required
RUED V DORMER & ANOTHER [2026] EWHC 1074 (CH)
30/05/2026
Where a Part 36 offer addresses only part of a multi-issue claim, the court must conduct a true like-for-like comparison, properly accounting for taxation treatment and the scope of issues…
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06
Court of Appeal ruling on costs protection principles in regulatory appeals under CPR r.44.2 following SDT proceedings
Baxendale-Walker Principle Does Not Extend To Appellate Costs Against Regulatory Bodies
DENTONS UK AND MIDDLE EAST LLP V SOLICITORS REGULATION AUTHORITY LTD [2026] EWCA Civ 655
24/05/2026
The Court of Appeal confirmed that regulatory bodies defending appeals from the Solicitors Disciplinary Tribunal face the ordinary costs-shifting regime under CPR r.44.2, rejecting the argument that the costs approach…
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07
Private prosecutor appeal costs decision on recovery of director time alongside legal representative fees in SCCO
No Double Recovery | Represented Party Cannot Claim Both Solicitor Fees And Director’s Time
R (TM EYE) v DEAN HALL; R (TM EYE) v FLORENTINA RADU & CARMEN TEDORESCU [2026] EWHC 1193 (SCCO)
20/05/2026
A private prosecutor’s appeal costs were reduced from £45,052 to £15,000 after the court disallowed time claimed for its director alongside its legal representative, applying the principle that a represented…
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08
Commercial Court awards interim payment for foreign litigation costs incurred in breach of exclusive jurisdiction clause
Foreign Litigation Costs Recoverable As Damages For Breach Of An Exclusive Jurisdiction Clause, Assessed on the Indemnity Basis
DIAGEO DV LIMITED V NIO S.R.L. (IN LIQUIDATION) [2026] EWHC 1198 (Comm)
20/05/2026
The Commercial Court awarded an interim payment of damages for legal costs incurred defending Italian proceedings brought in breach of an exclusive English jurisdiction clause, assessing such costs on the…
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09
Part 36 offer genuineness in enforcement proceedings under CPR 36.17(5)(e) considered by King's Bench Division
A Near Full-Value Part 36 Offer On A Binary Recognition And Enforcement Claim Held To Be ‘Genuine’ Where The Strength Of The Claim Justified It
TIMOKHIN V TIMOKHINA [2026] EWHC 1194 (KB)
19/05/2026
A 9% discount on a strong recognition and enforcement claim was held to be a genuine settlement offer, not a strategic device to secure indemnity costs, triggering full Part 36…
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10
Costs consequences of discontinuance under CPR 38.6 after resisting summary disposal application in High Court KB Division
CPR 38.6 | Discontinuing LiP Ordered To Pay Defendants’ Costs | Eight Arguments Dismissed | The High Bar For Displacing Costs On Discontinuance
LODHIA v TWELVE TREES MANAGEMENT COMPANY (BROMLEY-BY-BOW) LIMITED & ORS [2026] EWHC 1177 (KB)
19/05/2026
A litigant in person who discontinued defamation proceedings after conceding a summary disposal application was ordered to pay the defendants’ costs on the standard basis, with the court rejecting arguments…
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