Personal injury discount rate: inflation index and determining the judicial rate of interest

Overview

A consultation on the appropriate inflation measure to be referenced in legislation for the personal injury discount rate; and for periodical payment orders; and the methodology for calculating the judicial rate of interest.

Read the consultation paper. The consultation paper contains full background information for this consultation. You may find it useful to read or refer to while responding.

Consultation questions preview Consultation questions preview

The consultation questions are included here for your reference. Please click 'Begin consultation' at the bottom of this page to proceed.

Question 1: Do you have a preference for the Consumer Price Index (CPI) or Consumer Price Index including owner occupiers' housing costs (CPIH) or another index as the appropriate inflation index to be referenced in the legislation?

Question 2: Do you agree that the Damages Act 1996, schedule B1, should be amended to enable the possibility of a modified or adjusted inflation index to be used in the calculation of the discount rate?

Question 3: Do you prefer Option A or Option B as a means of enabling the possibility of a modified or adjusted inflation index to be used in the calculation of the discount rate?

Question 4: Do you have an alternative option for enabling the possibility of a modified or adjusted inflation index to be used in the calculation of the discount rate?

Question 5: Do you agree that the mix of inflationary pressures affecting lump-sum awards of damages in Scotland is likely to be the same as that in England and Wales?

Question 6: What do you think the appropriate inflation index should be for PPOs?

Question 7: Do you agree that provision should be made to enable the possibility of a modified or adjusted inflation index to be used for PPOs?

Question 8: Are you aware of any subsequent case law or legislation which impacts the Scottish Law Commission’s recommendation on determining the judicial rate of interest?

Question 9: Are you aware of change in practice which impacts the SLC’s recommendation on determining the judicial rate of interest?

Question 10: Do you agree that the Bank of England base rate should be used to establish the Judicial Rate of Interest?

Question 11: If the Judicial Rate of Interest is to be pegged to the Bank of England base rate what should the percentage increase on the base rate be?

Question 12: Is there suitable, published and accessible data which would inform what the percentage increase to the base rate should be?

Question 13: Should the Scottish Ministers have power to amend by regulation the percentage modification of the base rate, either upwards or downwards? If not, please provide reasons for your answer.

Question 14: Do you have an alternative option for determining the Judicial Rate of Interest?

Useful information about responding to this consultation Useful information about responding to this consultation

As you complete your response, each page will provide the option to 'Save and come back later' at the bottom. This means you can save your progress and return to the consultation at any time before it closes. If you don't use this feature and leave the consultation midway through, your response will be lost.

Once you have submitted your response, you can enter your email address to get a pdf copy of your answers sent to you.

On the 'About You' page at the end of this consultation, organisations will have the opportunity to tell us more about their work and/or how their response was informed.

After the consultation has closed there will be a few months delay before any responses are published. This is because we must check any responses to be published abide by our Terms of Use.

All relevant submitted responses will be analysed. This may be carried out by third party organisations who Scottish Government, its executive agencies or non-ministerial offices, contract to do this work. Such data sharing will be governed by appropriate contractual arrangements to keep your data secure.

An analysis report will usually be published some months after the consultation has closed. This report will summarise the findings based on all responses submitted. It will be published on the Scottish Government website and you may be notified about it if you choose to share your email address with us.

You can also join our consultation mailing list where we regularly list newly published analysis reports (as well as new consultations).

Why your views matter

Consultation responses will be collated and used to inform the development of any future proposals. A formal Scottish Government response to the consultation will be published in due course, setting out the conclusions drawn and next steps.

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