Government employment tribunal proposals cause concern

This week, the Ministry of Justice outlined proposals for new regulations to be introduced to govern damages-based contingency fee agreements, which are typically used in employment tribunal proceedings.

The proposed changes include a cap on the percentage of damages that can be recovered by the legal agent, along with a requirement that representatives provide claimants with clear and transparent information on total costs.

However, a spokesperson for the Law Society said the group was "very concerned" by the government making such plans without first seeking a full consultation.

"We agree that contingency fees give rise to a number of issues but they also provide significant access to justice for people who could not otherwise afford to bring claims," she added.

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The representative went on to state that it was "notable" that the problems the government was hoping to address were issues which could be handled by improved enforcement of the existing rules.

She noted that extending the powers of the Claims Management Regulator in respect of non-solicitor advisers would be an appropriate move.