Personal injury claim compensation will be cut in 2021

Changes to personal injury law will reduce compensation levels and make it harder for injured people to get legal representation in April 2021. Find out if you will be affected.

woman injured in accident

How is the personal injury law changing?

Following the introduction of the Civil Liability Act 2018, personal injury claims will be handled by the small claims court, unless:

  • General damages estimate exceeds £5,000 for road accidents or £2,000 for other incidents
  • The total value of the claim (general damages plus special damages) exceed £10,000

Until the changes happen, the general damages limit remains only £1,000. Currently, only the most minor injuries fall into the small claims category (such as cuts, bruises and very short-term whiplash).

After the reforms, many more serious injuries will fall below the small claims limit, including some fractures, scarring and other injuries taking years to fully heal.

When will the changes come into effect?

Originally the changes were scheduled for April 2021. In May 2020, the Lord Chancellor announced a delay to the implementation until April 2021.

Please watch this space for further updates.

Why the small claims limit matters to you

Solicitors cannot recover their legal costs from the defendant in a small claims court.

In practice, this means that small claims are usually not cost-effective for solicitors to handle. So for a typical ‘small claims’ injury claim, you will find that you won’t be able to get legal representation to seek compensation.

So I won’t be able to use a no win no fee solicitor after then changes?

The process will be different. If your claim meets the above criteria i.e. estimated to be worth less than £5,000, a solicitor is unlikely to take on your claim on a no win, no fee basis, as they will consider the claim to be 'low-quantum'.

Do I actually need a solicitor then?

It depends. In theory, lower value claims are often less complex, and there are plans to launch an online courts process to help people claim without a solicitor.

However, just because a claim is lower-value does not mean that it will be simpler or easier. Some high-value claims can be very straightforward, and some low-value claims can involve complex personal injury law.

You may feel confident enough to handle the claims process yourself, if:

  • the defendant has admitted full liability, and
  • your injuries have already fully healed (so you know their full impact on your life), and
  • the circumstances of your accident are relatively straightforward.

However, if any of the above factors do not apply, or the case becomes more complex once it is underway (e.g. because new evidence comes to light, your injuries worsen or the defendant disputes liability) you could find yourself quickly out of your depth. In practice, this could mean:

  • Risking delays in the whole claims process
  • Risking that interim payments are not paid, or are delayed, or underpaid
  • Risking that you under settle your claim

Worst of all, unexpected complications could mean that you end up losing your case.

Find out if your claim will be affected:

The following tables refer to the Guidelines for the Assessment of General Damages in Personal Injury.

Check these tables to see if your injury could be affected by the 2021 changes:

Please click on the '+' symbols to expand the tables:

Head, brain and senses
Brain damage
Less severe brain damage £12,210 to £34,330
Minor brain or head injury £1,760 to £10,180
Moderate brain damage £34,330 to £174,620
Moderately severe brain injury £174,620 to £224,800
Very severe brain damage £224,800 to £322,060
Deafness or tinnitus
Either slight hearing loss or slight tinnitus Up to £5,590
Mild tinnitus with some hearing loss £10,040 to £11,890
Moderate hearing loss £11,890 to £23,670
Moderate tinnitus and hearing loss £11,890 to £23,670
Moderate to severe tinnitus £11,890 to £23,670
Severe tinnitus and partial hearing loss £23,670 to £36,310
Slight or occasional tinnitus with slight hearing loss £5,870 to £10,040
Total deafness £72,330 to £87,410
Total deafness and loss of speech £87,410 to £112,100
Total loss of hearing in one ear £24,950 to £36,310
Epilepsy
Established grand mal £81,310 to £119,650
Established petit mal £43,710 to £104,660
Other epileptic conditions £8,480 to £10,950
Facial injury
Simple nose fracture £1,360 to £2,010
Simple cheekbone fracture £1,850 to £2,390
Simple jaw fracture £5,150 to £6,960
Loss or damage to front tooth £1,760 to £3,150
Loss or damage to back teeth (per tooth) £870 to £1,360
Displaced nose fracture requiring surgery £3,150 to £4,070
Displaced nose fracture £2,010 to £2,510
Simple cheekbone fracture needing surgery £3,470 to £5,150
Serious jaw fracture £14,320 to £24,300
Loss or damage to two front teeth £3,470 to £6,080
Multiple facial fractures £11,890 to £19,090
Serious nose fracture with permanent damage £8,480 to £18,440
Serious cheekbone fracture £8,130 to £12,580
Serious multiple jaw fractures £24,300 to £36,310
Loss or damage to several front teeth £6,960 to £9,100
Le Fort fractures of facial bones £18,980 to £29,290
Chronic tooth pain with general deterioration Up to £30,390
Impairment of taste and smell
Loss of smell £19,920 to £26,230
Loss of taste £15,300 to £19,920
Total loss of smell and significant loss of taste £26,230 to £31,220
Total loss of taste and smell In the region of £31,220
Injury affecting sight
Complete loss of sight in one eye £39,270 to £43,710
Loss of sight in one eye with reduced vision in the remaining eye £50,970 to £84,510
Minor eye injury £3,150 to £6,960
Minor permanent damage to vision in one or both eyes £7,270 to £16,720
Serious loss of vision in one eye £18,880 to £31,320
Total blindness £214,210 to £214,250
Total blindness and deafness In the region of £322,060
Total loss of one eye £43,710 to £52,360
Transient (short lived) eye injury £1,760 to £3,150
Post-traumatic stress disorder
Less severe post-traumatic stress disorder £3,150 to £6,520
Moderate post-traumatic stress disorder £6,520 to £18,450
Moderately severe post-traumatic stress disorder £18,450 to £47,720
Severe post-traumatic stress disorder £47,720 to £80,250
Psychiatric damage generally
Less severe psychiatric damage £1,220 to £4,670
Moderate psychiatric damage £4,670 to £15,200
Moderately severe psychiatric damage £15,200 to £43,710
Severe psychiatric damage £43,710 to £92,240
Neck and back injury
Back injury
Back injury causing chronic permanent symptoms £30,910 to £55,590
Back injury causing permanent symptoms £9,970 to £22,130
Back injury causing serious permanent symptoms £22,130 to £30,910
Back injury recovering in 2-5 years £6,290 to £9,970
Back injury recovering in a few months at most Up to £1,950
Back injury recovering in up to 2 years £1,950 to £6,290
Serious back injury causing significant permanent impact £59,120 to £70,490
Severe back injury with spinal cord damage £72,620 to £128,320
Neck injury
Minor neck injury Up to £6,290
Neck injury bringing other problems forward or making them worse £6,290 to £10,960
Neck injury causing spondylosis, serious limitation of movement or permanent/recurring pain £10,960 to £19,920
Neck injury involving fractures, dislocations or severe soft tissue (muscle) damage leaving chronic permanent symptoms £36,240 to £44,630
Neck injury involving fractures, dislocations or severe soft tissue (muscle) damage recovering to a restricted level £19,920 to £30,690
Neck injury recovering completely in 1-2 years £3,470 to £6,290
Neck injury recovering completely in up to a year £1,950 to £3,470
Serious neck injury involving fractures or damage to discs £52,390 to £104,370
Severe neck injury £36,240 to £118,240
Whiplash
Full recovery within 3 months £300 to £1,950
Full recovery between 3 months and 1 year £1,950 to £3,470
Recovery between 1 and 2 years (see "neck injury" for longer-term whiplash injury) £3,470 to £6,290
Shoulder injury
Minor shoulder injury Up to £6,290
Moderate shoulder injury £6,290 to £10,180
Serious shoulder injury £10,180 to £15,300
Severe shoulder injury £15,300 to £38,280
Arm injury
Amputation of arms
Loss of both arms £191,950 to £239,140
Loss of one arm above the elbow £87,410 to £104,370
Loss of one arm at the shoulder No less than £109,330
Loss of one arm below the elbow £76,650 to £87,410
Hand injury
Fracture of one finger Up to £3,790
Fractured index (first) finger leaving permanent symptoms £7,270 to £9,760
Loss of a little finger £6,890 to £9,760
Loss of a middle finger Up to £12,460
Loss of a thumb £28,310 to £43,710
Loss of an index (first) finger In the region of £14,930
Loss of both hands, or loss of use of both hands £112,100 to £160,600
Loss of index finger and middle or ring finger £49,350 to £72,330
Loss of one hand, or loss of use of one hand £76,650 to £87,410
Loss of part of a little finger £3,150 to £4,670
Loss of part of an index (first) finger £9,700 to £14,930
Loss of ring and little finger In the region of £17,380
Loss of the end of a ring or middle finger £3,150 to £6,260
Loss of the end of the middle and first finger In the region of £19,920
Minor hand injury Up to £3,460
Moderate thumb injury £7,700 to £10,040
Serious damage to both hands £44,550 to £67,410
Serious hand injury with full or close to full recovery £4,640 to £10,580
Serious hand injury with significant loss of use of the hand £23,110 to £49,350
Serious ring or middle finger injury causing permanent loss of grip £11,890 to £13,020
Serious thumb injury £10,040 to £13,360
Severe fractured fingers leading to possible amputation Up to £29,290
Severe thumb dislocation £3,150 to £5,410
Thumb injury recovering in a short time Up to £1,760
Thumb injury recovering in around 6 months Up to £3,150
Very serious thumb injury £15,620 to £27,910
Injury to the elbow
Elbow injury causing some long term problems £12,480 to £25,510
Elbow injury not causing significant long term problems Up to £10,040
Severe, disabling elbow injury £31,220 to £43,710
Other arm injury including fractures and nerve damage
Fractured forearms (between the elbow and the wrist) £5,280 to £15,300
Serious arm injury leaving permanent and substantial effects £31,220 to £47,720
Serious arm injury leaving some long lasting effects £15,300 to £31,220
Severe arm injury £76,650 to £104,370
Vibration white finger and/or hand arm vibration syndrome
Vibration white finger and/or hand arm vibration syndrome affecting both sides in a younger person causing a change in job £25,220 to £30,630
Vibration white finger and/or hand arm vibration syndrome causing minor symptoms £2,390 to £6,890
Vibration white finger and/or hand arm vibration syndrome causing symptoms in cold weather £6,890 to £13,360
Vibration white finger and/or hand arm vibration syndrome causing year round symptoms £13,360 to £25,220
Work-related upper limb disorders
Work-related upper limb disorders causing continuing problems needing surgery, preventing working £17,460 to £18,440
Work-related upper limb disorders causing continuing problems on one side £11,890 to £13,020
Work-related upper limb disorders recovering completely within 3 years £6,890 to £8,570
Work-related upper limb disorders recovering within a few months at most £1,760 to £2,810
Wrist injury
Colles wrist fractures In the region of £5,920
Serious wrist injury causing significant permanent problems £19,530 to £31,220
Severe wrist injury causing loss of function of the wrist £37,960 to £47,720
Wrist fractures and other injury recovering in up to one year £2,810 to £3,790
Wrist injury causing permanent pain and stiffness £10,040 to £19,530
Wrist injury taking around two years to heal completely Up to £8,160
Injury to the pelvis and hips
Extensive fractures causing serious long term problems £62,490 to £104,370
Hip or pelvis fractures causing long term problems £49,350 to £62,490
Hip or pelvis fractures needing surgery £31,220 to £41,860
Hip or pelvis injury leaving minimal or no long term problems £3,150 to £10,040
Minor hip or pelvis soft tissue (muscle) injury Up to £3,150
Significant hip or pelvis injury leaving some long term problems £10,040 to £21,200
Significant hip or pelvis injury without serious permanent damage £21,200 to £31,220
Injury to the legs and feet
Achilles tendon
Minor Achilles tendon injury £5,800 to £10,040
Partial Achilles rupture or significant tendon damage £10,040 to £16,800
Severed Achilles tendon and muscle injury In the region of £30,630
Severed Achilles tendon successfully repaired by surgery £19,920 to £23,980
Ankle injury
Ankle injury causing some permanent problems £10,960 to £21,200
Ankle injury recovering completely or leaving mild symptoms Up to £10,960
Severe ankle injury causing permanent problems walking £24,950 to £39,910
Very severe rare ankle injury £39,910 to £55,560
Foot injury
Common foot injury, most healing completely Up to £10,960
Displaced metatarsal fractures with permanent symptoms £10,960 to £19,920
Loss of both feet £135,030 to £160,600
Loss of one foot £66,930 to £87,410
Serious foot injury £19,920 to £31,250
Severe injury to one or both feet £33,460 to £55,830
Very severe permanent foot injury £33,460 to £87,410
Knee injury
Knee injury causing mild long term problems £11,820 to £20,880
Knee injury causing serious long term problems £20,880 to £34,660
Knee injury that recover completely or leave minimal symptoms Up to £10,960
Leg fractures which include the knee joint £41,550 to £55,590
Severe knee injury £55,590 to £76,690
Leg injury
Fractured femur (thigh bone) £7,270 to £11,220
Fractured tibia or fibula (lower leg) or soft tissue injury Up to £9,440
Leg fractures or soft tissue injury causing some permanent problems £14,320 to £22,130
Loss of both legs £191,950 to £224,800
Loss of both legs below the knee £160,600 to £215,310
Loss of one leg above the knee £78,100 to £106,010
Loss of one leg below the knee £83,550 to £109,570
Serious leg injury leaving permanent problems £31,250 to £43,710
Severe crushing injury and serious or complicated leg fractures £21,100 to £29,800
Severe leg injury without amputation £76,730 to £108,370
Very serious leg injury leaving permanent problems £43,710 to £67,410
Toe injury
Loss of a big toe In the region of £24,950
Loss of all of the toes on a foot £29,110 to £44,710
Serious injury to the big toe or to several other toes £7,650 to £10,960
Severe toe injury including amputations £10,960 to £16,800
Toe injury not leaving significant long term problems Up to £7,650
Minor injury
Minor injury recovering in 28 days £550 to £1,090
Minor injury recovering in 3 months £1,090 to £1,950
Minor injury recovering in 7 days Up to £550
Chronic pain
Moderate complex regional pain syndrome £22,340 to £41,860
Moderate pain disorders generally £16,800 to £30,690
Severe complex regional pain syndrome £41,860 to £66,970
Severe pain disorders generally £33,590 to £50,210
Injury involving paralysis
Temporary paraplegia In the region of £39,330
Paraplegia £174,620 to £226,610
Tetraplegia or quadraplegia £258,740 to £322,060
Injury to internal organs
Bladder Up to £112,100
Digestive system
Severe damage from trauma £34,280 to £49,350
Serious non-penetrating injury £13,380 to £22,130
Penetrating injury £5,280 to £10,040
Severe toxicosis £30,630 to £41,860
Serious short-term food poisoning £7,600 to £15,300
Food poisoning £3,150 to £7,600
Disabling cramps and diarrhoea £730 to £3,150
Kidney injury
Loss of one kidney £24,530 to £35,780
Risk of future loss of kidney function Up to £51,000
Serious and permanent damage to or loss of both kidneys £135,030 to £167,690
Bowel injury
Injury with a return to natural function and control £10,040 to £19,520
Abdominal injury impairing function £35,540 to £55,590
Double incontinence and total loss of function Up to £146,840
Total loss of bowel function Up to £119,650
Bladder injury
Full or near-complete recovery £18,660 to £24,950
Serious impairment of bladder control £51,000 to £63,720
Total loss of bowel and bladder function Up to £146,840
Chest injury
Chest injury causing some permanent tissue damage but no significant long-term lung problem £10,040 to £14,320
Damage to the chest and lungs causing some continuing disability £24,950 to £43,710
Fractured ribs or muscle injury to the rib cage and chest Up to £3,150
Injury causing lungs to collapse £1,750 to £4,240
Injury from inhaling toxic fumes or smoke £4,240 to £10,040
Total removal of one lung and/or serious heart damage £80,250 to £119,650
Traumatic injury to the chest, lungs or heart with permanent damage and reduced life expectancy £52,390 to £80,250
Spleen injury
Loss of spleen with low risk of future infection £3,470 to £6,890
Loss of spleen with continuing risk of infection or immune disorders £16,580 to £20,950
Lung disease
Breathing difficulties needing use of an inhaler £24,950 to £43,710
Bronchitis and wheezing £15,300 to £20,950
Lung cancer in older people £55,830 to £77,580
Lung diseases such as emphysema £43,670 to £55,830
Serious life-threatening lung disease in young people £80,250 to £108,370
Short term aggravation of bronchitis or other chest problems £1,760 to £4,240
Slight breathlessness that recovers completely in a few years £8,480 to £16,580
Hernia injury
Uncomplicated indirect inguinal hernia £2,710 to £5,760
Direct inguinal hernia with risk of recurrence £5,590 to £7,270
Continuing pain or limitation of physical activities £11,890 to £19,260
Reproductive system: female
Infertility with no desire to have children £5,280 to £10,040
Failed sterilisation In the region of £8,130
Ectopic pregnancy delay but fertility not affected £2,700 to £16,280
Infertility without medical complication £14,320 to £29,290
Infertility following ectopic pregnancy £27,140 to £81,420
Infertility caused by disease with depression £91,600 to £135,030
Reproductive system: male
Impotence for a middle-aged man with children £34,280 to £62,490
Impotence, loss of sexual function and sterility in a young man In the region of £118,240
Sterility in cases where it has minimal impact In the region of £5,280
Sterility without impotence for a family man who intended to have more children £18,880 to £24,950
Sterility without impotence for a young man without children £44,710 to £56,870
Sterility, caused by accident, illness or clinical negligence In the region of £112,100
Sterility, caused by accident, illness or clinical negligence to the elderly In the region of £14,960
Asbestos-related disease
Asbestosis and pleural thickening with low respiratory disability £12,020 to £30,630
Asbestosis and pleural thickening with significant respiratory disability £30,630 to £84,380
Lung cancer £55,830 to £77,580
Mesothelioma £55,830 to £100,350
Asthma
Chronic asthma £20,950 to £34,280
Mild asthma and other chest problems resolving quickly Up to £4,110
Mild asthma-like symptoms that are permanent £8,480 to £15,300
Severe permanent asthma with disabling effects £34,330 to £52,390
Other injuries
Scarring to other parts of the body
A single noticeable scar, or several superficial scars not to the face £1,890 to £6,240
After an exploratory laparotomy leaving scarring In the region of £6,890
Burns covering 40% or more of the body No less than £83,550
Several noticeable scars or one disfiguring scar, not to the face £6,240 to £18,120
Calculate compensation

There’s more…

The amount of compensation payable for soft tissue injuries (including whiplash) resulting from road traffic accidents will be significantly reduced.

What counts as a ‘whiplash claim?

The Ministry of Justice (MOJ) define whiplash as:

(a) a sprain, strain, tear, rupture or lesser damage of a muscle, tendon or ligament in the neck, back or shoulder, or
(b) an injury of soft tissue associated with a muscle, tendon or ligament in the neck, back or shoulder.

How much will soft tissue injury compensation be reduced by?

A new tariff system will be introduced for soft tissue RTA claims where the injury takes fewer than two years to heal.

The tariff will significantly reduce the amount of compensation payable to soft tissue injury victims for pain, suffering and loss of amenity:

Injury duration (months) Proposed fixed tariff compensation award Current estimated average damages
0 to 3 £275 £1,800
3 to 6 £470 £2,250
6 to 9 £805 £2,700
9 to 12 £1,250 £3,250
12 to 15 £1,910 £3,650
15 to 18 £2,790 £4,150
18 to 24 £3,910 £4,750

Source: Legal Futures

Are there any exceptions?

Yes. Vulnerable road users such as pedestrians, motorcyclists and cyclists are not affected by the changes.

Passengers, (excluding children who are considered ‘protected parties’) however, will be affected by the changes.

Why has the government done this?

Despite years of press coverage to the contrary, independent studies and the government’s own research have confirmed that whiplash fraud is very rare. Some studies relying on older data have also failed to recognise the significant fall in whiplash claims that have already occurred in recent years, following reforms enacted in 2013.

Even before the changes, injury compensation levels in the UK are already amongst the lowest in Europe.

Ostensibly, the government’s reason for reform was to deter fraudulent claims. Addressing theories as to what the real motivation for the changes was is beyond the scope of this article, but much has been elsewhere on the subject.

How we intend to help people in 2021

We believe that the reforms will put injured people with legitimate claims, at risk of being under-compensated. Some people could effectively be denied access to justice.

The purpose of compensation is to return people to the situation they were in before the accident occurred. Compensation is awarded for pain, suffering and loss of amenity. Compensation pays for critical medical treatment and care as well as covering incurred losses such as loss of earnings. Without compensation, people risk being unable to pay the living and medical costs for themselves and their families.

Many people will not want to represent themselves in a small claims court. When affected by an injury, the last thing a claimant may want to do is represent themselves in court.

My accident has already happened - will the changes affect me?

The new tariffs will apply according to the date you start your claim, not then date of injury.

You are therefore best advised to start a claim before April 2021.

How can Quittance help?

We would be happy to advise you on how the 2021 changes could affect you.

If you have any questions, or would like to start a No Win No Fee claim, we are open 8am to 9pm weekdays, 9am to 6pm on Saturday, and 9.30am to 5pm on Sunday.

Call us FREE 0800 612 7456 or arrange a callback:

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Sources:

https://www.gov.uk/government/consultations/reforming-the-soft-tissue-injury-whiplash-claims-process
http://www.legislation.gov.uk/ukpga/2018/29/contents/enacted
https://www.legalfutures.co.uk/

Howard Willis, Personal injury solicitor

Author:
Howard Willis, Personal injury solicitor