UK Govt announced £208 Benefits 2025: The government has announced changes to how legal aid providers are paid for welfare benefits cases under the Civil Legal Aid (Remuneration) Regulations 2013. These amendments will come into force on Thursday, 1 May 2025, and introduce a new escape fee threshold for controlled work in the welfare benefits category of law.
What Is Changing?
At present, legal aid providers are paid a fixed fee of £208 for each welfare benefits case under the 2025 Standard Civil Contract, with no option for additional payment based on case complexity or time spent.
However, under the new amendment:
- The fixed fee of £208 remains.
- An escape fee threshold will be introduced, set at three times the fixed fee, i.e. £624.
- If a case requires significantly more work and the cost goes beyond £624, providers may claim additional payment above this threshold.
- Table 1 in Part 1, Schedule 1 of the Regulations will now reflect this change.
- Table 7, which previously listed the welfare benefits fixed fee, will be removed.
When Do These Changes Apply?
These changes:
- Take effect from Thursday, 1 May 2025.
- Do not apply to cases where an application for civil legal services is made before this date.
System Update to Support the Change
The Controlled Work and Administration (CWA) reporting system has been updated to support this new escape fee structure. The updated system will be ready in time for the go-live date on 1 May 2025.
These changes are officially introduced through the Civil Legal Aid (Remuneration) (Amendment) Regulations 2025.
This update ensures fairer payment for legal aid providers handling complex welfare benefits cases, while keeping the standard fixed fee in place for simpler matters. Providers should prepare for the new rules by updating their reporting systems and understanding how the new £624 escape threshold affects their claims after 1 May 2025.
FAQ’s
What is the new escape fee threshold for welfare benefits legal aid work?
The escape fee threshold is three times the fixed fee of £208, which equals £624. If the cost of a case goes beyond this amount, providers can claim additional payment.
When will the new escape fee threshold come into force?
The new fee structure will take effect from Thursday, 1 May 2025. It does not apply to cases submitted before this date.
Will the standard fixed fee of £208 still apply?
Yes, the fixed fee of £208 remains in place for standard welfare benefits legal aid cases under the 2024 Standard Civil Contract.
What happens to Table 7 in the Regulations?
Table 7, which previously listed the welfare benefits fixed fee, will be removed. The fee will now be listed under Table 1, Part 1, Schedule 1.
Has the CWA system been updated for this change?
Yes, the Controlled Work and Administration (CWA) reporting system has been updated and will support the new fee structure from 1 May 2025.
