Class reps call for tighter monitoring of defendant costs in collective actions
Britain’s Class Representatives Network urged officials to monitor defendant spending more closely in competition lawsuits after companies exploit funding rules to exhaust claimant resources. The group told the Department for Business and Trade that businesses intentionally increase expenses to pressure plaintiffs who must secure insurance covering potential losses.
Representatives face strict budget oversight, while defendants with larger reserves face no spending limits until recent tribunal changes. One plaintiff needed 15 million pounds of coverage due to mounting defense costs. The network said companies delay settlements and challenge minor points to drain opponent funds below viable levels.
The government launched its review in August after claims totaling tens of billions of pounds exceeded earlier projections. A separate analysis found new filings dropped from 17 cases in 2023 to three through September 2025. The International Legal Finance Association called the review premature, noting that the system remains underdeveloped.
