Clinical Negligence claims to cost £15 billion

August 16th, 2010

The NHS has been warned that the cost of settling negligence claims would increased to £15bn. Figures show cost of settling legal claims against the NHS that have already made and expected to be made has risen from £11.9bn two years ago to £15bn.

This has prompted a Ministry of Justice investigation with the aim of bringing costs down. The NHS Litigation Authority, which administers settlements against NHS trusts, stated in its Annual Report that claims worth £6.3bn have already been submitted though not paid out. And there is another £8.7bn worth of claims from incidents that are known to have happened but where claims have not yet been made. This means that a total of £15bn is likely to be required in order to settle claims over the next ten to fifteen years.

Figures show that 6,652 claims were made to the authority in 2009/10. This is 10% higher than for the previous 12 months. There was also a 11% rise in the number of claims in the 12 month period between 2007/8 and 2008/9. Moreover, the average cost per claim has also gone up because lawyers are demanding higher quality care for injured claimants. On top of that, lawyers’ fees and costs have also increased – to such an extent that the Medical Protection Society which provides professional indemnity insurance for doctors have asked for action to limit lawyers’ fees.

A Ministry of Justice spokesperson said: “Conditional Fee Agreements have played a role in giving access to justice to a range of people. However, high costs under the existing arrangements have now become a serious concern. We will be consulting on how to achieve significant costs savings, whilst still enabling those who need access to justice to obtain it. The Government is therefore taking these proposals forward as a matter of priority.”

A Department of Health spokesperson said: “Patients deserve high quality healthcare from the NHS. The vast majority of the millions of people treated by the NHS every year experience good quality, safe and effective care. However, if patients do not receive the treatment they should and mistakes are made, it is right that they are compensated and have access to legal representation.”

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No Win No Fee Solicitors: Jacob Ryderson is a contributing author at nowinnofeesolicitors.co.uk.

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