Work underway on ‘costs budgeting-lite’ and guideline rates for counsel, says Birss at ACL Roundtable 

Lord Justice Birss, deputy head of civil justice, has announced that work is underway to introduce new rules on costs budgeting and guideline hourly rates (GHR) for barristers.  

Speaking at a roundtable event organised by the Association of Costs Lawyers (ACL), he explained that these changes are part of the Civil Justice Council’s 2023 costs review. 

At the event, experts discussed ongoing problems with applying the rules of proportionality to legal costs, and the potential role of artificial intelligence (AI) in helping with costs work. 

The event, attended by leading figures in the costs sector, also highlighted ongoing challenges with the proportionality of costs, the role of AI in costs management, and the future of costs budgeting. 

Introducing a “costs budgeting-lite” system 

 Birss LJ explained that, after some simple changes like increasing GHR for solicitors, focus has shifted to two big projects: testing out a “costs budgeting-lite” system and deciding whether GHR should also apply to barristers.  

He admitted it’s not yet clear if hourly rates will be set for barristers, but stressed the need for better systems to assist in the summary assessment of their fees. 

Jack Ridgway, chair of the ACL, said judges are now more willing to let parties exchange budgets and have their costs experts agree them. This has made budgeting quicker, especially in some courts.  

Other speakers, including David Marshall from the Law Society and Steven Green from Irwin Mitchell, agreed that simplifying costs budgeting would help both lawyers and clients. 

The role of artificial intelligence 

There was also discussion about AI’s role in the future. Ridgway said AI could make drafting bills faster, but human expertise will still be needed for more complex tasks.  

Green added that for AI to work, lawyers need to accurately record their time, which has been an issue for years. 

Image: Canva 

Josie Miller Josie is an editor for Claims Media. She welcomes feedback, comments, and opinion at josie.miller@barkerbrooks.co.uk