Daily Mirror (Northern Ireland)
New claim rule to benefit thousands
‘Ground-breaking’ legal ruling for compo payouts
THOUSANDS of people taking personal injury cases are set to benefit after a “ground-breaking” legal challenge led to a change in how compensation is calculated, it was claimed yesterday.
The Discount Rate is a percentage applied to lump sum awards for future care and loss of earnings, to account for an expected return on investments.
Paul Mccrossan brought a High Court challenge over the level in Northern Ireland which has remained the same for 20 years.
The Derry man suffered life-impacting injuries in a road traffic accident and claimed those arrangements were unlawful.
Counsel for the Department of Justice confirmed it now intends to change the Discount Rate.
Tony Mcgleenan QC said secondary legislation will be brought to the Assembly to alter the current rate from 2.5% to minus 1.75% at the end of May.
He added: “There will be no need for the court to write a judgment.”
The development brought an end to the legal challenge.
Frank O’donoghue, representing Mr Mccrossan, was awarded costs after contending: “The relief sought has been granted at the eleventh hour.”
Despite changes in England, Wales and Scotland in 2017, the Discount Rate has been kept at 2.5% in Northern Ireland since 2001.
Outside court, Mr Mccrossan said: “This change will allow me to get the full compensation I am entitled to.”
His lawyer, Jack Quigley of Mcgee Solicitors, insisted the changes were a direct result of the legal action.
Mr Quigley claimed thousands of others in Northern Ireland will also now benefit.
He added: “This is a groundbreaking case for ordinary people around the country who deserve to get 100% compensation when they have been seriously injured.
“It is both irrational and unreasonable that this has not been the case here for so many years, particularly as the rate had changed in England, Wales and Scotland four years ago.
“Hopefully this result will help those who have been seriously injured and who desperately need compensation.”
The relief sought was granted at eleventh hour FRANK O’DONOGHUE YESTERDAY