Ruinous press costs axed

MINISTERS will finally scrap legislation which could have imposed ruinous libel costs on the Press.

Section 40 of the Crime and Courts Act 2013 would have forced newspapers to pay both sides’ legal costs in defamation and privacy cases – even if they won.

But ministers said yesterday that the legislation, vehemently opposed by newspaper groups and Press freedom campaigners, will now be scrapped.

The provision would have affected any newspaper not signed up to a Royal Charter approved regulator.

Just one regulator – Impress – was given approval, but concerns were raised about its independence after it emerged that it was funded by two charities linked to Max Mosley, the former Formula One boss.

The majority of media organisations refused to sign up to the body.

Almost all are instead signed up to the Independent Press Standards Organisation (Ipso), a voluntary Press-funded body.

Despite being on the statute book for years, the legislation has never been brought into force. In 2017 the Tories pledged in their manifesto to repeal it.