The Civil Procedure Rules 1998

[F1 SECTION I E+W General Provisions

Textual Amendments

F1 Pt. 45 substituted (1.10.2023) by The Civil Procedure (Amendment No. 2) Rules 2023 (S.I. 2023/572), rule 1(1), Sch. 3 (with rule 2)

Scope of this Part E+W

45.1.— (1) This Part sets out the amounts to be allowed for costs in the categories of claim to which it applies.

(2) In the categories of claim to which this Part applies, the court has a discretion as to—

(a) whether costs are payable by one party to another;

(b) when they are to be paid; and

(c) whether to make an order in the form contemplated by rule 44.2(6)(a).

(3) Where—

(a) a claim is one to which Section IV, Section VI, Section VII or Section VIII of this Part applies; and

(b) the parties agree or the court orders that a party is entitled to costs,

subject to [F2 rule 44.5 and to] the application of any rule in those Sections or this Section by which costs are to be allowed, disallowed, increased or reduced, the court may only award costs in an amount that is neither more nor less than the fixed costs allowed by the applicable Section and set out in the relevant table in Practice Direction 45 [F3 , unless the paying party and the receiving party have each expressly agreed that this Part should not apply].

(4) Section VI and Section VII of this Part do not apply to a claim or counterclaim which relates, in whole or in part, to a residential property or dwelling and which, in respect of that property, includes a claim or counterclaim for—

(a) possession;

(b) disrepair; or

(c) unlawful eviction,

save where the claim or counterclaim in respect of the residential property or dwelling arises from a boundary dispute.

(5) Where a claim relates in part to a residential property or dwelling and that part of the claim is concluded or discontinued, paragraph (4) shall continue to apply to the remainder of the claim.

(6) Section VI, Section VII and Section VIII of this Part do not apply where a party is a protected party.

(7) In this Part—

(a) ‘an order for costs’, includes orders for costs deemed to have been made (either against the claimant or in favour of the claimant) as set out in rule 44.9;

(b) ‘the relevant Protocol’ means—

(i) the Pre-Action Protocol for Personal Injury Claims in Road Traffic Accidents (‘the RTA Protocol’); or

(ii) the Pre-action Protocol for Low Value Personal Injury Claims (Employers’ Liability and Public Liability) Claims (‘the EL/PL Protocol’); and

(c) a reference to a table by number alone is a reference to the corresponding table in Practice Direction 45.

(8) [F4 Subject to paragraph (9), a] reference in any rule to an amount in a table in Practice Direction 45 is a reference to the amount applicable to a claim on the date that proceedings are issued, regardless of any subsequent amendment.

[F5 (9) In respect of any amendment made to Table 12, Table 14 or Table 15 which comes into force on 6th April 2024, the amounts in those Tables as so amended are also applicable to any order for costs made after that date in a claim issued before that date.

(10) This Part does not apply to costs incurred in respect of, or in connection with, inquest proceedings.]

Textual Amendments

F2 Words in rule 45.1(3) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(2)(a)(i)

F3 Words in rule 45.1(3) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(2)(a)(ii)

F4 Words in rule 45.1(8) substituted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(2)(b)

F5 Rule 45.1(9)(10) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(2)(c)

VAT E+W

45.2.   Where appropriate, VAT may be recovered in addition to the amount of fixed costs in Section IV, Section VI, Section VII or Section VIII of this Part and any reference to fixed costs in those Sections is a reference to those costs net of any such VAT.

Additional costs for work in specified areas (‘London weighting’) E+W

45.3.— (1) Where fixed costs are payable under Section IV, Section VI, Section VII or Section VIII of this Part and the receiving party—

(a) lives, works or carries on business in any area set out in Section II of Practice Direction 45; and

(b) instructs a legal representative with conduct of the litigation who practises in any of those areas,

the fixed costs shall include, in addition to the costs allowable in the relevant Section, an amount equal to 12.5% of those fixed costs (‘London weighting’).

(2) In this rule ‘fixed costs’ excludes any disbursements.

Litigants in person E+W

45.4.— (1) This rule applies to any claim where—

(a) costs are payable under Section VI, Section VII or Section VIII of this Part; and

(b) the party in whose favour the costs order is made is at any stage a litigant in person.

(2) Where this rule applies—

(a) rule 46.5 shall apply, save that—

(i) where a party is a litigant in person throughout the entire claim, the costs allowed under this rule shall not exceed, except in the case of a disbursement, two-thirds of the fixed recoverable costs which would have been allowed under Section VI, Section VII or Section VIII if the litigant in person had been represented by a legal representative;

(ii) for any stage in Table 12, Table 14 or Table 15 during which the party is for any period a litigant in person, the costs allowed for that stage shall not exceed two thirds of the costs so specified; and

(iii) for any stage in Table 12, Table 14 or Table 15 during which a party is represented by a legal representative for the entire stage, the fixed recoverable costs shall apply as set out in sub-paragraph (b), provided that the total amount of costs to be allowed shall not exceed the costs which would have been allowed if the litigant in person had been represented by a legal representative for the entire claim;

(b) where sub-paragraph (a)(iii) applies, the fixed recoverable costs shall be as follows—

(i) where the stage provides only for a fixed sum, the fixed sum;

(ii) in any other stage the difference between the fixed recoverable costs for that stage and the fixed recoverable costs for the last stage before that when the party was a litigant in person.

Entitlement to costs – more than one claimant E+W

45.5.— (1)  Unless paragraph (2) or paragraph (4) applies, where—

(a) fixed costs are payable under Section VI or Section VII of this Part; and

(b) orders for costs are made in favour of two or more claimants,

each claimant is entitled to the costs of their own claim in accordance with the applicable rules in this Part.

(2) Paragraph (1) does not apply where the claim is for a remedy to which the claimants are jointly entitled, and they are joined to the proceedings to comply with rule 19.3.

(3) Paragraph (4) applies where fixed costs are payable under Section VI or Section VII and—

(a) a legal representative with conduct of the litigation acts for more than one claimant in the proceedings;

(b) each of those claimants has a separate claim against the defendant;

(c) an order for costs is made in favour of two or more of those claimants; and

(d) the court has ordered that paragraph (4) shall apply.

(4) Where this paragraph applies—

(a) the claimants in whose favour an order for costs is made shall only be entitled to one set of fixed costs;

(b) the amount of the fixed costs to which those claimants are entitled is the sum of the allowable costs and the further amounts calculated in accordance with paragraph (5) and, where applicable, paragraph (7); and

(c) those claimants are jointly entitled to any costs so ordered.

(5) A further amount equal to 25% of the allowable costs is to be added for each additional claimant in whose favour the order for costs is made.

(6) In paragraph (4), ‘the allowable costs’—

(a) means—

(i) the applicable costs payable to the claimant in respect of whom the damages of highest value are agreed or awarded; or

(ii) where paragraph (i) would apply to two or more claimants, the applicable costs payable to whichever one of those claimants their legal representative chooses;

(b) does not include any additional [F6 costs] under rule 36.24 [F7 or increased costs under rule 45.13(2)]; but

(c) may include the relevant trial advocacy fees if applicable; and

(d) excludes any disbursements.

(7) In addition to the allowable costs under paragraph (4), those claimants who meet the criteria are entitled to London weighting.

(8) Where one or more of the claimants referred to in paragraph (4) is entitled to [F8 either] additional costs under rule 36.24(5) or increased costs under rule 45.13(2), [F9 or to both,] the percentage increases for which those rules provide must be calculated by applying the relevant percentage to such proportion of the amount referred to in paragraph (4)(b) as reflects the proportion which each claimant so entitled bears to the total number of claimants to which paragraph (4) applies.

Textual Amendments

F6 Word in rule 45.5(6)(b) substituted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(3)(a)(i)

F7 Words in rule 45.5(6)(b) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(3)(a)(ii)

F8 Word in rule 45.5(8) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(3)(b)(i)

F9 Words in rule 45.5(8) inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(3)(b)(ii)

Defendants’ costs E+W

45.6.— (1) Where, in any case to which Section VI, Section VII or Section VIII of this Part applies, the court makes an order for costs in favour of the defendant, the allowable costs are—

(a) the fixed costs set out in Section VI, Section VII or Section VIII;

(b) the applicable disbursements set out in Section IX of this Part.

(2) For the purpose of assessing the costs payable to a defendant by reference to the fixed costs in Table 12 and Table 14—

(a) “value of the claim for damages” and “damages” shall be treated as references to the value of the claim, as defined in paragraph (3); and

(b) if the claim is discontinued, a reference in Table 12 or Table 14 to the stage at which a case is settled shall be treated as a reference to the stage at which the case is discontinued.

(3) For the purposes of paragraph (2)(a), ‘the value of the claim’ is—

(a) the amount specified in the claim form, without taking into account any deduction for contributory negligence, but excluding—

(i) any amount not in dispute;

(ii) interest; or

(iii) costs;

(b) if no amount is specified in the claim form, the maximum amount which the claimant reasonably expected to recover according to the statement of value included in the claim form under rule 16.3;

(c) if the claim form states that the claimant cannot reasonably say how much is likely to be recovered—

(i) £25,000 in a claim to which Section VI applies; or

(ii) £100,000 in a claim to which Section VII applies;

(d) if the claim has no monetary value—

(i) the applicable amount in rule 45.45(1)(a)(ii) in a claim to which Section VI applies; or

(ii) the applicable amount in rule 45.50(2)(b)(ii) in a claim to which Section VII applies; or

(e) if a claim includes both a claim for monetary relief and a claim which has no monetary value, the applicable amount in sub-paragraph (d) taken together with the applicable monetary value in sub-paragraph (a), (b) or (c).

Counterclaims E+W

45.7.— (1) Subject to paragraphs (2) and (3), if in any case to which Section VI or Section VII of this Part applies—

(a) the defendant brings a counterclaim; and

(b) the court makes an order for costs,

rules 45.5, 45.6, 45.9, 45.10, 45.11, 45.12, 45.13, 45.43, 45.45, 45.46, 45.49 and 49.50 shall apply as if the counterclaim were a claim.

(2) No costs are allowable under this rule where the only remedy sought by the counterclaimant is also a defence to the claim.

(3) Where in a claim to which the RTA Protocol applies, there is a counterclaim which does not include a claim for personal injuries, any order for costs shall be for a sum equivalent to one half of the applicable Type A and Type B costs in Table 10.

Pre-action and interim applications E+W

45.8.   Where, in any claim to which Section VI, Section VII or Section VIII of this Part applies, the court makes an order for the costs of a pre-action or interim application, the costs which a party may be allowed are those set out in Table 1, together with any appropriate court fee.

Claims for an amount of costs exceeding fixed recoverable costs E+W

45.9.— (1) The court may consider a claim for an amount of costs (excluding disbursements) which is greater than the fixed recoverable costs referred to in Section VI, Section VII or Section VIII of this Part where there are exceptional circumstances making it appropriate to do so.

(2) If the criteria in paragraph (1) are met, the court may—

(a) summarily assess the costs; or

(b) make an order for the costs to be subject to detailed assessment.

Claims for an amount of costs exceeding fixed recoverable costs – vulnerability E+W

45.10.— (1) The court may consider a claim for an amount of costs (excluding disbursements) which is greater than the fixed recoverable costs referred to in Section VI, Section VII or Section VIII of this Part where—

(a) a party or witness for the party is vulnerable;

(b) that vulnerability has required additional work to be undertaken; and

(c) by reason of that additional work alone, the claim is for an amount that is at least 20% greater than the amount of fixed recoverable costs.

(Rule 1.6 and Practice Direction 1A make provision for how the court is to give effect to the overriding objective in relation to vulnerable parties or witnesses).

(2) If the criteria in paragraph (1) are met, the court may—

(a) summarily assess the costs; or

(b) make an order for the costs to be subject to detailed assessment.

Failure to achieve costs greater than fixed recoverable costs E+W

45.11.— (1) This rule applies where—

(a) costs are assessed in accordance with rule 45.9(2) or 45.10(2); and

(b) the court assesses the costs (excluding any VAT) as being an amount which is in a sum less than 20% greater than the amount of the fixed recoverable costs.

(2) The court shall make an order for the party who made the claim to be paid the lesser of—

(a) the fixed recoverable costs; and

(b) the assessed costs.

Costs of the costs-only proceedings or the detailed assessment E+W

45.12.— (1) If the criteria in rule 45.9(1) or rule 45.10(1) are not met, the court may make an order for the fixed recoverable costs and any permitted disbursements only.

(2) Where—

(a) the court makes an order for costs in accordance with paragraph (1); or

(b) rule 45.11 applies,

the court may decide—

(i) to make no order as to the costs of the [F10 costs-only] proceedings or detailed assessment; or

(ii) to make an order for some or all of such costs to be paid by the party making the claim.

Textual Amendments

F10 Word in rule 45.12(2)(b)(i) substituted (1.10.2023 immediately after S.I. 2023/572 comes into force) by The Civil Procedure (Amendment No. 3) Rules 2023 (S.I. 2023/788), rules 1(1), 23(1)

Unreasonable behaviour E+W

45.13.— (1) Where, in a claim to which Section VI, Section VII or Section VIII of this Part applies, an order for costs is made in favour of a party whom the court considers has behaved unreasonably, the other party may apply for an order that those costs be reduced by an amount equivalent to 50% of the fixed recoverable costs which would otherwise be payable.

(2) Where, in a claim to which Section VI, Section VII or Section VIII of this Part applies, an order for costs is made against a party whom the court considers has behaved unreasonably, the other party may apply for an order that those costs be increased by an amount equivalent to 50% of the fixed recoverable costs which would otherwise be payable.

(3) In this rule—

(a) unreasonable behaviour is conduct for which there is no reasonable explanation; and

(b) “fixed recoverable costs which would otherwise be payable” does not include—

(i) VAT;

(ii) any additional amounts under rules 36.17 or 36.24; or

(iii) any disbursements.

Costs consequences on reconsideration of track or complexity band E+W

45.14.— (1) Where—

(a) the court reallocates a claim to a different track; and

(b) before or upon reallocation, the claim is one to which Section VI, Section VII or Section VIII of this Part applies,

the costs which may be allowed are those applicable to the track to which the claim is reallocated, as if the claim been allocated to that track at the outset.

(2) Where, in any claim to which Section VI or Section VII of this Part applies, the court reassigns a claim to a different complexity band, the costs which may be allowed are those applicable to the complexity band to which the claim is reassigned, as if the claim been assigned to that band at the outset.

(3) Where in any claim to which this rule applies, the court makes an order for the costs of an application to—

(a) reallocate the claim to a different track; or

(b) reconsider the complexity band to which a claim is assigned,

that application shall be treated as an interim application and the costs which a party may be allowed are those set out in Table 1, together with any appropriate court fee.

Costs consequences where rules 36.23 or 36.24 apply E+W

45.15.   In a case to which Section VI, Section VII or Section VIII of this Part applies

(a) where a Part 36 offer is accepted, rule 36.23 applies instead of the relevant Section; and

(b) where upon judgment being entered, the claimant fails to obtain a judgment more advantageous than the defendant’s Part 36 offer, rule 36.24 apples instead of the relevant Section.

[F11 Restoration proceedings E+W

45.15A.— (1) This rule applies to claims to which Section VI, Section VII or Section VIII apply.

(2) Where—

(a) it is necessary for the claimant to make an application in separate proceedings to restore a defendant company to the Companies Register; and

(b) the claimant is successful in their claim and obtains an order for costs against that defendant,

the fixed costs may include the amount specified in Table 15A (inclusive of any advocate’s fees incurred) in respect of the restoration proceedings, together with the disbursements allowed under paragraph (2) of that Table.]]

Textual Amendments

F11 Rule 45.15A inserted (6.4.2024) by The Civil Procedure (Amendment) Rules 2024 (S.I. 2024/106), rules 1(1), 9(4)