Development of CFAs

At the time of their wider access, following the Access to Justice Act, Geoff Hoon, the then minister in charge, said that they would result in better access to justice, especially for the many who fall between the very rich, who can pay for legal costs themselves, and the very poor, who would be entitled to legal aid. It would therefore take cost out of the equation, to a large extent, and would depend more upon the strength of the case.

Though no win, no fee agreements are widely seen as being the catalyst for a compensation culture which has grown up in the UK in recent years, statistics do not necessarily bear that out. Cases involving accident and disease are stable while clinical negligence cases and those of accidents at work appear to be falling, although claims arising from motor accidents have grown since the early 2000s.

Also, the House of Commons Constitutional Affairs Committee, in 2006, heard evidence that personal injury claims had risen since the early 1970s but that the introduction of no win, no fee arrangements had actually coincided with a levelling off in the figures. Solicitors also dispute the no win no fee criticism and commonly held view that the rise of CFAs has led to more frivolous claims and more cases generally; they say that the new system has led to solicitors acting more as a filter.