Future losses

Future losses

STOP PRESS: The Lord Chancellor has announced that the discount rate will increase from minus 0.25% to positive 0.5% on 11 January 2025. This Overview will be updated with the new rate of positive 0.5% on 11 January 2025.

Recoverable future losses

In assessing future losses the court will award the claimant a lump sum which will take into account the general contingencies of life and the accelerated receipt of a sum which is available for investment. To achieve this the court will calculate a multiplicand and apply a multiplier. The principle heads of future loss are for earnings, pension, accommodation, the cost of care and services and future medical treatment and transport aids. The court is also under a duty to consider whether a claim is suitable for a periodical payments award.

For further guidance, see Practice Note: Recoverable future losses.

The multiplicand and the multiplier

The multiplicand is the claimant's net annual loss, in the case of losses, or annual cost, in the case of services or expenses, as at the date of trial. Evidence should be obtained if there is likely to be a

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