The Better Regulation Taskforce is to carry out a study into the UK’s compensation culture.
The initiative, which is the first of the task force’s studies for 2003/04, was announced by chairman David Arculus.
The study will look at:
- whether the risk of litigation promotes good practice and compliance with the law
- the impact of the fear of litigation on the public and private sectors
- the efficiency of the claims process
- whether the system is accessible for everyone - or whether it encourages abuse
Arculus said: “Our question is - is litigation the most effective and efficient regulatory tool for making amends? Or are the only people that really gain insurance companies and lawyers?”
“The issue is balance. It is important that people are able to enforce their rights and to be protected, but has it become too difficult for all of us. Fear of litigation can make businesses and public sector organisations improve their performance, but it can also put a huge drain on resources - both in time and money - and result in over cautiousness. There are also the emotional costs of litigation, which can be very stressful.”
Individuals or bodies wishing to give evidence to the review should do so by contacting the Better Regulation Task Force Secretariat at 5th Floor, 22 Whitehall, London, SW1A 2WH. Tel: 020 7276 2142; e.mail: [email protected] by 30 September 2003.
By Ben Willmott