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The reform of Legal Aid in England and Wales

Author

Listed:
  • Neil Rickman
  • Paul Fenn
  • Alastair Gray

Abstract

Legal aid expenditure has risen dramatically in recent years, prompting attention from successive governments. A prominent theme of past and present government reform proposals has been the shifting of risk away from the taxpayer towards lawyers, clients and insurers by altering the means by which legal aid lawyers are paid. This paper explores this theme by presenting information on legal aid expenditure trends over the last two decades and then considering whether payment mechanisms have contributed to this performance. Finally, it reviews previous and current reform proposals in this area. It concludes that, because risk-shifting also alters incentives, it is essential that reform recognises and monitors these.

Suggested Citation

  • Neil Rickman & Paul Fenn & Alastair Gray, 1999. "The reform of Legal Aid in England and Wales," Fiscal Studies, Institute for Fiscal Studies, vol. 20(3), pages 261-286, September.
  • Handle: RePEc:ifs:fistud:v:20:y:1999:i:3:p:261-286
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    File URL: http://www.ifs.org.uk/fs/articles/0008a.pdf
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    References listed on IDEAS

    as
    1. Rickman, Neil, 1994. "The Economics of Contingency Fees in Personal Injury Litigation," Oxford Review of Economic Policy, Oxford University Press, vol. 10(1), pages 34-50, Spring.
    2. Gravelle, Hugh & Waterson, Michael, 1993. "No Win, No Fee: Some Economics of Contingent Legal Fees," Economic Journal, Royal Economic Society, vol. 103(420), pages 1205-1220, September.
    3. Antony Dnes & Neil Rickman, 1998. "Contracts for Legal Aid: A Critical Discussion of Government Policy Proposals," European Journal of Law and Economics, Springer, vol. 5(3), pages 247-265, May.
    4. B. Douglas Bernheim & Michael D. Whinston, 1985. "Common Marketing Agency as a Device for Facilitating Collusion," RAND Journal of Economics, The RAND Corporation, vol. 16(2), pages 269-281, Summer.
    5. Fenn, Paul & Rickman, Neil, 1999. "Delay and Settlement in Litigation," Economic Journal, Royal Economic Society, vol. 109(457), pages 476-491, July.
    6. Gray, Alastair M, 1994. "The Reform of Legal Aid," Oxford Review of Economic Policy, Oxford University Press, vol. 10(1), pages 51-67, Spring.
    7. Frank H. Stephen & James H. Love & Alan A. Patterson, 1994. "Deregulation of conveyancing markets in England and Wales," Fiscal Studies, Institute for Fiscal Studies, vol. 15(4), pages 102-118, November.
    8. Tony Culyer, 1989. "Cost-containment in Europe," Working Papers 062chedp, Centre for Health Economics, University of York.
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    Citations

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    Cited by:

    1. Kirstein, Roland & Rickman, Neil, 2001. "FORIS contracts: Litigation Cost Shifting and Contingent Fees in Germany," CSLE Discussion Paper Series 2001-04, Saarland University, CSLE - Center for the Study of Law and Economics.
    2. Roland Kirstein & Neil Rickman, 2004. ""Third Party Contingency" Contracts in Settlement and Litigation," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 160(4), pages 555-555, December.
    3. Deffains, Bruno & Desrieux, Claudine, 2015. "To litigate or not to litigate? The impacts of third-party financing on litigation," International Review of Law and Economics, Elsevier, vol. 43(C), pages 178-189.

    More about this item

    JEL classification:

    • K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
    • L50 - Industrial Organization - - Regulation and Industrial Policy - - - General

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