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NLJ this week: When high rates fall flat

31 October 2025
Issue: 8137 / Categories: Legal News , Legal services , Dispute resolution , Costs , Fees
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In this week's NLJ, Sophie Houghton of LexisPSL distils the key lesson from recent costs cases: if you want to exceed guideline hourly rates (GHR), you must prove why

The Court of Appeal in Samsung Electronics v LG Display and Saipem SPA v Petrofac reaffirmed that vague claims of complexity or scale are inadequate. Judges expect 'clear and compelling justification'—specific evidence of novelty, urgency or extraordinary difficulty. Without it, the GHR remain the benchmark.

Houghton emphasises that even in high-value commercial work, mere references to large bundles or importance won’t suffice. Courts demand transparency on why rates are proportionate and reasonable, not inflated.

Her message to practitioners is sharp: exceptional fees require exceptional evidence—or risk judicial pruning at assessment. Simply saying 'big case, big fee' no longer cuts it.

MOVERS & SHAKERS

Freeths—Ruth Clare

Freeths—Ruth Clare

National real estate team bolstered by partner hire in Manchester

Farrer & Co—Claire Gordon

Farrer & Co—Claire Gordon

Partner appointed head of family team

mfg Solicitors—Neil Harrison

mfg Solicitors—Neil Harrison

Firm strengthens agriculture and rural affairs team with partner return

NEWS
Conveyancing lawyers have enjoyed a rapid win after campaigning against UK Finance’s decision to charge for access to the Mortgage Lenders’ Handbook
The Crown Prosecution Service (CPS) has launched a recruitment drive for talented early career and more senior barristers and solicitors
Regulators differed in the clarity and consistency of their post-Mazur advice and guidance, according to an interim report by the Legal Services Board (LSB)
The dangers of uncritical artificial intelligence (AI) use in legal practice are no longer hypothetical. In this week's NLJ, Dr Charanjit Singh of Holborn Chambers examines cases where lawyers relied on ‘hallucinated’ citations — entirely fictitious authorities generated by AI tools
The Solicitors Act 1974 may still underpin legal regulation, but its age is increasingly showing. Writing in NLJ this week, Victoria Morrison-Hughes of the Association of Costs Lawyers argues that the Act is ‘out of step with modern consumer law’ and actively deters fairness
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