LM-2023-000035 - [2025] EWHC 2168 (Comm)

Finally, I am asked to consider what sum to award as a payment on account of costs given that costs will need to go to a detailed assessment.

The Clamant’s presently budgeted costs are £689,081.98. The Claimant seeks to add costs in the sum of £104,876.54 by way of the application to vary and will seek to add those costs at the assessment. That gives a total of £793,958.52. The claimant asks for a payment on account of costs of 90% of that sum (£714,562.70). In seeking that amount, the Claimant assumes that the increased costs in respect of the trial preparation and trial phases are allowed.

In addition to the principal sum, the Claimant seeks interest. I am satisfied it appropriate to add interest at the rate of 5.25% per annum (Base plus 1). The Clamant invites me to allow that rate from the date the claim started (13 February 2023) to mid-June 2025 when the figure was first proposed.

I am prepared to make an order (before considering interest) that the Defendant pay the sum of £700,000 on account of costs. I am prepared to allow 1 year’s interest on that sum (that is £36,750). The takes account of the fact that not all of the costs were paid upfront. I bear in mind I have a wide discretion in deciding the sum to be awarded as a payment on account.