NHS could save millions from lower cost of clinical negligence claims, say experts

Medical defence experts have welcomed the government’s decision to increase the personal injury discount rate (PIDR) in England and Wales, saying it could potentially save the NHS millions of pounds in compensation payments.

The discount rate is used by courts to determine the lump sum paid to people who experience serious and long term injuries. The lower the rate is set, the higher the cost of compensation (see box).

Following a review, Lord Chancellor Shabana Mahmood said that from 11 January 2025 the PIDR in England and Wales will increase from the current rate of −0.25% to 0.5%. The change brings the two countries in line with Northern Ireland and Scotland, which …