Long overdue increase of Legal Aid Rates

After almost three decades of stagnation, the Legal Aid Agency has finally confirmed an uplift on the civil legal aid rates for England & Wales.  This increase was announced in July 2025.  It is the first time that the rates have seen an increase since 1996.  Before that time the rates had decreased.  The review and announcement came following significant pressure from leading legal aid practices such as Duncan Lewis Solicitors and costs lawyers.  The news was refreshing as it was considered that legal aid provision was on the verge of collapse.

Why were the rates increased?

With the failure to increase rates from 1996 meant that legal aid fees had not kept pace with inflation or the real term costs of running a practice with increases in rent, rates, salaries and other overheads.  It was reported that legal aid practitioners and barristers were seeing their value in time cut in half.  With limited firms now providing assistance it became critical that something happened.  Late November 2024, Duncan Lewis Solicitors advanced a claimed with supporting evidence from other prominent legal aid firms and organisations who refer legal aid work launched a Judicial Review against the Lord Chancellor.  That matter concluded successfully with the Ministry of Justice committed to review fees.  This was done and on 2 July 2025 the government announced the increase in legal aid fees for immigration and housing matters.  Immigration rates have increased by 30% and housing by 24%. 

The implementation of these new rates will take effect after the amendments have been made to the Civil Legal Aid (Remuneration) Regulations 2013.  The Ministry of Justice has stated that they will take effect “as soon as operationally feasible.” 

Conclusion

The increase in legal aid fess represents a significant milestone – a starting point.  It is the first real investment in civil legal aid in a generation.  It all came about as a direct result of pressure from prominent legal aid providers and supported by the legal profession and agents.  However, to truly ensure fair access to justice, funding must remain under review and all areas of law must be supported.  It is only right that fair access to justice is maintained and the fees should remain under review and the provision of Legal Aid should be sustainable and a respected part of our legal system.

Cost Law Services Ltd is a leading and fast growing UK-wide costs practice.  The firm has significant experience in legal aid costs.  In addition to legal aid, the firm is highly regarded for the inter partes work they deal with and undertake work in a multitude of areas.  If we can assist you or your firm in any way, please do not hesitate to contact as on info@costslawservices.com

By Wayne Spring

National Training & Development Manager, Chartered Fellow of the Institute of the Legal Executives

[1] Financial Times – 24 November 2024.