Recovering Legal Aid costs is a vital yet often complex process for solicitors and law firms. The Legal Aid Agency (LAA) applies strict rules and procedures when reimbursing costs, meaning any errors or omissions in billing can lead to reductions or delays in payment, or rejection of your claim for costs which will count against KPIs. This is where it is crucial for any legal team to involve a specialist costs draftsmen or Costs Lawyer.

By preparing accurate bills, ensuring compliance with LAA guidance, and managing submissions through the Client and Cost management System (CCMS), an expert costs partner will help firms secure the maximum recovery available.

At ARC Costs, our experienced team supports legal aid practitioners through every stage of the process, from bill preparation to challenging reductions, ensuring your hard-earned fees are recovered in full and without unnecessary delay.

Recovering Costs from the Legal Aid Agency

Solicitors and law firms providing services under the legal aid scheme are entitled to recover costs from the Legal Aid Agency for work carried out on behalf of publicly funded clients. This recovery process involves quantifying your costs claim, submitting Payments on Account (POA) to secure you funds during litigation, or settling interim or final bills (depending on the stage of the case) and assisting with the detailed assessment of work undertaken.

If the litigation being funded by legal aid is in a civil dispute, then at ARC Costs we can also assist with preparation of inter-partes costs documentation, such as Costs Budgets and/or final Bills of Costs for detailed assessment.

If costs are to be recovered from the LAA, then strict rules apply to cost recovery, and compliance with theses rules is essential. Bills of costs submitted are checked to ensure they meet all procedural and evidential requirements. It is common for the LAA to request supporting documentation, such as court orders, case management materials, or invoices, before releasing payment. 

The LAA also can request audits of costs claims, and it is imperative that your costs stand up to scrutiny during such inspections.  The independent input and oversight of a costs specialist can be highly beneficial to avoid adverse consequences in the event such an audit takes place.

It is not uncommon at ARC Costs for us to recover 100% of costs claims when they are being assessed by the Legal Aid Agency however,  the LAA may reduce amounts it considers excessive or outside the funding guidelines, particularly in relation to disbursements and/or enhancements claimed.

How Costs Draftsmen Assist with Legal Aid Claims

At ARC Costs, we provide comprehensive legal costs services and specialise in navigating the technical requirements of LAA claims. We ensure bills are prepared accurately, in compliance with the LAA’s rules, and submitted through the Client and Cost Management System (CCMS) where applicable. This precision not only minimises the risk of reductions but also speeds up payment.

We regularly assist in high-cost cases, multi-party disputes, and matters subject to inter-partes costs orders requiring detailed assessment hearings.

In exceptional costs cases, where a fixed fee does not apply, the cost of using our costs to prepare a detailed bill can itself be recovered from the LAA. Our team works to maximise your recovery while relieving fee earners of the significant administrative burden that cost recovery often entails.

Inter-Partes Costs in Legal Aid Cases

In some matters, costs may be recovered from the opposing party rather than directly from the LAA. When a case concludes, the court may make an inter-partes cost order requiring the losing party to pay the legal costs of the receiving party.

In Legal Aid cases, the receiving party is expected to pursue recovery from the paying party first before seeking to claim from the LAA. This is often seen in civil disputes such as housing disrepair, judicial review or ancillary relief cases. Notably, the indemnity principle does not apply to hourly rates in publicly funded cases, meaning that higher rates than the legal aid rates can be claimed from the paying party.

Costs Draftsman Charges for Legal Aid

The cost of engaging a legal aid costs draftsmen to prepare and submit Legal Aid claims will depend on several factors, including the complexity of the case and the volume of work involved. However, it is important to note that Costs Draftsman charges for Legal Aid can themselves be recovered from the Legal Aid Agency.

This ensures that solicitors and litigants in person are not left to absorb the expense of outsourcing what is often a complex and time-consuming process. Instead, the cost is recognised as a necessary and recoverable part of the legal aid claim, allowing clients to secure professional assistance without reducing their overall recovery.

By instructing ARC Costs, law firms benefit from the expertise of experienced Legal Aid costs professionals, while retaining the ability to recover our charges from the LAA where permitted. Our team ensures that every aspect of the claim, including our own fees where applicable, is presented in compliance with LAA guidance, maximising the likelihood of full reimbursement.

How can ARC Costs Assist?

Our team of experienced Law Costs Draftsmen and Costs Lawyers at ARC Costs regularly assist in all types of costs claims, including legal aid costs. We work with both law firms and Litigants in Person with their costs recoveries.

Through our specialised cost assessment service, we help clients maximise the recovery of their legal expenses while providing expert legal guidance and minimising the risk of claims being reduced or refused by the Legal Aid Agency.

We regularly use the CCMS system to submit legal aid cost claims and handle all associated administrative tasks on behalf of our clients. This not only frees fee earners from time-consuming paperwork but also ensures the prompt and efficient recovery of the highest possible legal aid fees.

It is worth noting that individuals cannot use legal aid for personal injury cases, however, most personal injury solicitors offer their services on a no win no fee agreement making it accessible for most people to make a claim.

To find out more about how we can provide you with assistance, please get in touch with us at 01204 397302 or email our team of experts at info@arccosts.co.uk. Alternatively, please use our free chat facility to speak to an expert directly.

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