Julian Matthews acts for defendants in case of Love v Dewsbury in first case  following the announcement by the Lord Chancellor of the proposed review of discount rates

On 8 November 2010, the Treasury Solicitor responded to APIL’s complaint concerning the Lord Chancellor’s failure to review and reduce the discount rate, and threat to commence proceedings for Judicial Review, stating that “The Lord Chancellor is prepared to undertake a review of the current discount rate, and will commence that review shortly. The review will include consultation with HM Treasury and the Government Actuary, as required by the Damages Act 1996. It will be necessary for the Lord Chancellor to undertake the review before deciding whether the discount rate should be reduced or increased, or whether it should remain at 2.5%.” This news was made publically available last week. Preliminary representations to the effect that the rate should not be changed have already been made by the Association of British Insurers. 

In Love v Dewsbury, in the High Court in London this week, the Claimant argued that the Court should either adjourn determination of the issue of the appropriate multiplier to be applied to the assessment of damages in a personal injuries claim pending the outcome of that review, or should make an order permitting the Claimant to apply to the Court for a review of the sum awarded in the event that the rate was changed. The Judge, Dermod O’Brien QC, sitting as a Deputy High Court Judge, accepted the submissions of Defence Counsel Julian Matthews and refused the Claimant’s application, stating that, in the absence of evidence establishing exceptional circumstances (Cooke v United Bristol Healthcare), the correct approach was for the Court to apply the specified discount rate until such time as it was formally changed. Although permission to appeal was granted, it is not yet known whether that decision will be appealed.