February 6, 2018

Category: Law News

Thursfields highlights end of ‘double recovery’ care costs dispute

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Local councils should no longer take personal injury settlements into account when deciding whether to pay for the care of severely disabled people, according to a leading Midlands law firm.

The comments from Thursfields Solicitors come after the High Court threw out a local authority’s appeal that a woman’s damages should be included in its assessment of her finances.

Tracy Ashby, a senior associate at Thursfields Solicitors, explained the decision had clarified the law around care payments, ending councils’ protests at so-called “double recovery” where they had argued a person shouldn’t receive money for the same injury twice.

Ms Ashby said: “Local councils should now disregard any personal injury settlements in future financial assessments of vulnerable people’s care needs.

“This is a major step forward for severely disabled people and their family and carers who until now were constantly fighting for the right to keep compensation separate from ongoing care needs.”

The decision relates to the Care Act 2014 which says that while councils can expect people with capital over £23,250 to pay for their own care, some forms of capital – such as an award of damages for personal injury – must be disregarded.

The High Court appeal involved a woman who had received a personal injury award of almost £1.3m in 1998 for medical negligence dating back to 1975, money that Wokingham Borough Council took into account when assessing her finances.

The Local Government and Social Care Ombudsman found that the council was at fault and ordered backdated payments for her care, a decision the council had appealed.

This appeal was dismissed by the Honourable Mr Justice Fraser, sitting in the administrative High Court, who said it was “totally without merit”, and the Ombudsman said all future cases would now be considered in the same way.

Ms Ashby, who specialises in long-term care cases for Thursfields, added: “Compensation for medical negligence should be used to enhance the lives of vulnerable people, for example to buy a house and vehicle that can be specially adapted for their needs.

“To drain such compensation to pay for day-to-day care would effectively mean the individual has had no real compensation, which the judge has now confirmed is wrong.”

A full report on the High Court decision can be read here.

ENDS (376 words)

For further information, please contact:

Tracy Ashby, Senior Associate Solicitor, Thursfields Solicitors
9 The Courtyard, Solihull, West Midlands B91 3DA
TAshby@thursfields.co.uk 0121 6475269

Or

Steve Dyson, ASAP PR – 0781 8004575
www.thursfields.co.uk Twitter - @Thursfields
LinkedIn - www.linkedin.com/company/thursfields

Notes to Editors
Thursfields Solicitors is one of the region’s longest established and reputable law firms, with around 140 staff in eight offices across Worcestershire and the West Midlands. Thursfields Solicitors provides a full range of legal services to business and the private individual, including property, family, employment and commercial law as well as probate and litigation. The firm has offices in Worcester, Kidderminster, Halesowen, Sedgley, Stourport-on-Severn, Solihull and Birmingham.

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