Question to the Department for Business and Trade:

To ask His Majesty's Government whether they have made an assessment of the risks to inward investment and perceived cost of doing business in the UK of facilitating an increase in funder-backed collective actions.

Funders enable access to justice when litigation costs are high. This is often the case for group litigation, including opt-out collective actions relating to competition issues. These claims play an important role in the competition enforcement landscape, and safeguarding competitive markets is to the benefit of consumers, businesses, and the UK economy.

However, litigation risk for businesses should be proportionate. Opt-out collective actions are under review, and a consultation on potential improvements will be published in due course. The Government is also working to implement proportionate regulation of litigation funding to improve transparency and fairness.