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Important Information for all Multi-Track Litigation Practitioners

From 6 April 2016, a series of amendments to the rules and regulations surrounding Costs Budgeting and subsequent Costs Management come into force. These changes take some cases out of the budgeting regime, limit the papers to be provided to the Court and show the extent of judicial desire for budgets to be agreed in advance of CCMCs. The amendments to the rules and practice directions are set out below.


Section II of CPR 3, dealing with costs management, will be amended:

• So as to dis-apply budgeting to claims made by or on behalf of minors where the claim is commenced on or after 06.04.16

• To provide that where the value on the claim form is less than £50,000.00, budgets must be filed and served with the directions questionnaire

• In all other cases the budget must be filed and served not less than 21 days before the first CMC

• To make provision for agreed budget discussion reports, and which must be filed not less than 7 days before the first CMC


PD 3E will be amended to provide:

• Budgeting will ordinarily be dis-applied in cases where the Claimant has a limited or severely impaired life expectancy

• Parties must follow the precedent H guidance note

• Where budgeted costs do not exceed £25,000.00 or the value of the claim as stated on the claim form is less than £50,000.00, the parties must only use the first page of precedent H

• Specifies the contents of a budget discussion report

• To make clear that it is not the court’s role on budgeting to fix rates but only to fix total costs by reference to phase


If you have any queries as to what is required in terms of budgets under the new rules, please do not hesitate to contact PIC’s Managing Director Reuben Glynn on 07775 408 573 or