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Freedom of expression groups have urged the UK government to reform more than just fees in libel cases, after new proposals to cut lawyers' success fees were announced by Jack Straw. Last night the Justice Secretary announced plans to cut lawyers' success fees in libel cases from 100 per cent to 10 per cent and said that the balance of costs between claimant and defendant in such cases should be reconsidered.

News organisations and investigative journalists in the UK have argued that the risk of huge legal bills in libel cases has had a chilling effect on investigative work. The use of Conditional Fee Agreements (CFAs) in particular has been criticised as these have, under “no win no fee” terms, allowed lawyers to claim a success fee of 100 per cent on top of their usual rate from the losing side. English PEN and Index on Censorship, who launched their Free Speech is Not for Sale report in in November calling for reform of current libel legislation, said Straw's proposals went "a long way towards" meeting their own goal for reducing costs in such cases.

In the report the groups proposed capping damages at £10,000 and making legal team's success fees and 'After the Event' (ATE) insurance premiums non-recoverable.

But the campaign has also recommended abolishing the single publication rule and creating a more robust public interest defence as part of 10 proposals for a new UK libel bill.

"The fear of spiralling costs means many individuals and media outlets cannot afford to defend libel actions. Any effort to address this problem is welcome. But we must be clear that costs are only one part of the problem. This measure must be part of a broader package of reform of our defamation laws - a programme we would urge all parties to adopt in their manifestos for the forthcoming election," said Jonathan Heawood, director of English PEN.

Last night the Justice Secretary said the changes would be subject to a four-week consultation period, but could be introduced as soon as April.

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Written by

Laura Oliver
Laura Oliver is a freelance journalist, a contributor to the Reuters Institute for the Study of Journalism, co-founder of The Society of Freelance Journalists and the former editor of Journalism.co.uk (prior to it becoming JournalismUK)

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