Commons Sense

House of Commons · Written Ministerial Statement

Determination of the Personal Injury Discount Rate

02 December 2024 · Ministry of Justice

Proposed by Shabana Mahmood Lab Birmingham Ladywood

NHS

Summarised by AI from the official record, so it can contain mistakes.

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At a glance

Key points

  • The Personal Injury Discount Rate for personal injury lump sum compensation payments in England and Wales is being changed.
  • The discount rate is being set at 0.5%, effective from January 11, 2025.
  • The change is being made as required by the Damages Act 1996 and Civil Liability Act 2018.

Issue summary

The statement addresses the determination and change of the Personal Injury Discount Rate for personal injury lump sum compensation payments in England and Wales.

Action requested

The Minister has laid a Statutory Instrument to set the discount rate at 0.5%, effective from January 11, 2025, as required by the Damages Act 1996 and Civil Liability Act 2018.

Key facts

  • The new Personal Injury Discount Rate is set at 0.5%.
  • The rate will come into force on 11 January 2025.
  • The decision was made following a review process including consultation with HM Treasury and an independent Expert Panel, as well as responses to two recent Calls for Evidence.
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