Oral Answers to Questions

Debate between Chris Philp and Andy Slaughter

Tuesday 8th October 2019 Commons Chamber

[The Parliamentary Under-Secretary of State for Justice (Chris Philp)]

Digitisation is designed to improve access to justice and, of course, efficiency in the court system. Last year, 150,000 people accessed court services online. To date, no fewer than 63,491 people have entered uncontested divorce proceedings online. The take-up rate is now 62% and growing. Some 94,975 people have issued or responded to civil money claims to date, and they report an 88% satisfaction rating. No fewer than 317,206 minor pleas have been entered since 2014, and if the House is wondering, 85% of those pleas were guilty and 15% were not guilty.

[Andy Slaughter]

From next April, the vast majority of personal injury claims will have to be dealt with online, without the benefit of legal advice. Even the Association of British Insurers—the major advocate and beneficiary of that policy—does not think the Government will be ready. It is urging the Government to drop the proposed increase in the small claims limit for employers and public liability and concentrate on road traffic claims. As the Government often follow the ABI’s advice, will they on this occasion?

[Chris Philp]

The House has been in the process of legislating in this area for some time. The Prisons and Courts Bill fell at the 2017 election. We finally legislated in the Civil Liability Act 2018, which is due to be implemented along with the £5,000 limit for the small claims track in April next year, and that remains the Government’s intention.

Civil Liability Bill [Lords]

Debate between Chris Philp and Andy Slaughter

3rd reading: House of Commons & Report stage: House of Commons
Tuesday 23rd October 2018 Commons Chamber

[Chris Philp]

Of course the £10,000 small claims track limit applies to a far wider range of issues than simply whether a fridge functions or not. The hon. Lady mentions as an example the question of culpability for a road traffic accident. Given that we are talking about much less serious types of injury if the limit is, say, £5,000, determining responsibility for that road traffic accident does not need to be an enormously complicated procedure. For those of us who have been involved in such road traffic accidents, the minor ones we are talking about here, determining responsibility is not a highly complicated matter. I accept that, in much more difficult cases where very serious injuries have been suffered, one must of course take a lot more legal care and attention. For very minor injuries, however, where by definition the accident is a minor one, I suggest that determining responsibility and culpability does not need to be an extremely complicated matter.

[Andy Slaughter]

With the greatest respect, I do not think that the hon. Gentleman knows what he is talking about. Given of the relatively low levels of compensation for injury, the effects of a £5,000 injury can be quite severe and debilitating over a period of time. The complexity of personal injury cases, which involve expert evidence and issues of causation, means that they are in a different category. Even the Government accept that, so he is batting on a rather poor wicket.

--- Later in debate ---

[Chris Philp]

I give way to the hon. Member for Hammersmith (Andy Slaughter).

[Andy Slaughter]

The proportion of fraudulent claims is about 1%. If I understand the hon. Gentleman’s argument correctly, he is saying that all meritorious claimants should be debarred from proper representation so we can identify that 1%, because it is too difficult for the Government to legislate. Is not the truth of the matter that the Government, as always, are joined at the hip to the Association of British Insurers, and are simply legislating in its interests?

[Chris Philp]

I disagree with all three things that the hon. Gentleman has said. First, as I said earlier to the right hon. Member for Kingston and Surbiton (Sir Edward Davey), the Government have no intention at all of preventing legitimate claims from being made. The Government are keen to facilitate those claims, and the online claims portal will help with that. There is categorically no intention of disbarring, preventing or in any other way inhibiting legitimate claims from being made.

Secondly, the hon. Gentleman referred to the 1% fraudulent claims figure. The reason the reported figure, which in my submission is dramatically under-reported, is so low is that insurance companies are, quite wrongly, choosing to settle those claims—even suspicious claims, even claims without merit—without defending them, because the cost of defending them, which is about £10,000 or £15,000, far exceeds the value of the pay-out. So the 1% figure cited by the hon. Gentleman goes nowhere close to reflecting the true scale of fraudulent claims in this area.