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Law firms rake in £700m in fees for coal miners’ claims

Author: Claire Ruckin

Published: 12/06/2008 05:55

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Legal fees for firms advising on the ongoing compensation claims for sick coal miners have hit more than £700m.

Figures released on Hansard reveal that fees for the work reached £735m by mid-April, with Thompsons Solicitors and Beresfords Solicitors taking the biggest individual shares.

Thompsons is the most significant biller to date, raking in £141.8m for its work, while Beresfords Solicitors billed £140.7m. Cardiff firm Hugh James takes third place, accounting for a total of £104.6m.

The fees were detailed in a written response by Lord Bach, a Government justice spokesman, on 24 April to questions raised by Lord Lofthouse of Pontefract. They show the fees received by the 10 largest billing firms to that date for work on the Government-backed compensation scheme for sick miners who are suffering from lung disease or vibration white finger.

In addition to the firm-specific totals, Beresfords’ limited liability partnership (LLP) accounts filed with Companies House last month for the year ending September 2006 show that the firm’s head, Jim Beresford, saw his share of the firm’s annual profits total £27.5m between 2004-06.

The LLP accounts also show that Beresfords was overpaid around £10m by the Government after a court ruling last April said the Department of Trade & Industry (now known as the Department for Business, Enterprise & Regulatory Reform) had overpaid a number of solicitors by around £100m in relation to certain miners’ cases.

Beresfords chief executive Mark Farrell said: “We would like to emphasise that fees payable to Beresfords for handling these cases were fixed by the Department of Trade & Industry following negotiations with the Claimant Solicitors Group, a national representative body.

“Exactly the same fee per case, dependent on the category, is paid to every participating solicitor in the UK. It therefore follows that solicitors representing large numbers of clients would make larger sums of money.”

Reynolds Porter Chamberlain professional negligence partner Nick Bird said: “Obviously this is a huge amount of money and comes from acting for large numbers of claimants.”

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