Skip to main content

The Practice Direction 19B sets out the fixed costs and Deputy remuneration in the Court of Protection and offers comprehensive guidelines for various aspects of financial management and remuneration. A summary of some of the key points are as follows:

1. Scope and Purpose:

  • The practice direction supplements Part 19 of the Court of Protection Rules 2017 and focuses on determining the remuneration payable to Deputies and making provisions for costs in proceedings.

2. Applicability:

  • Applies primarily to solicitors and public authority office holders acting as Deputies, with potential extension to other professionals as directed by the Court.
  • Applicable from 1 April 2024 onwards for cases ending on or after that date.

3. General Rules:

  • Specifies that costs of proceedings are typically paid by or charged to the estate of the individual under protection (P).
  • Does not apply where one party receives costs from another according to a Court Order.

4. Claims and Assessments:

  • Deputies may choose fixed costs or undergo a detailed assessment by the Senior Courts Costs Office (SCCO) as per the Court Order.
  • Provisions for interim payments, ensuring they are reasonable and proportionate.
  • Interim payments cannot exceed 75% of the work in progress for the annual management or 75% of the estimate provided to the OPG, whichever is the lower.
  • Final costs to be submitted to the SCCO for detailed assessment, with adjustments made for any overpayments within 28 days of receiving the final costs certificate.

5. Supervisory Procedure by the Office of the Public Guardian (OPG):

  • The OPG will request estimates of anticipated activity and costs from professional Deputies, with revised estimates required if actual time spent exceeds initial estimates by more than 20%.

6. Solicitors’ Costs:

  • Fixed costs for various categories of work, including Deputy appointment, Trustee Applications and existing Deputy Applications.
Category I Work up to and including the date of the Order appointing the Deputy. £1,204 (plus VAT)
Category II Applications for the appointment of a new Trustee and for authority to exercise any power vested in P £633 (plus VAT)
Category III Applications made under Practice Direction 9D paragraph 4 £633 (plus VAT)

 

7. Remuneration of Solicitors Appointed as Deputy:

  • Fixed rates of remuneration for different tasks, including annual management fees and preparation of reports or tax returns.
Category IV 1.         Annual Management Fee, first year £2,116 (plus VAT)
  2.         Annual Management Fee, subsequent years £1,672 (plus VAT)
  3.         Net assets below £20,300 Annual fee not exceeding 4.5% (plus VAT)
Category V Annual Management Fee for health and welfare Annual fee not exceeding 2.5% of assets (plus VAT) up to £703
Category VI Preparation and lodgement of a report or an account to the OPG £336 (plus VAT)
Category VII Preparation of a basic HMRC income tax return £317 (plus VAT)
Complex tax return As reasonable, however subject to ACC rules if instructing own practice

 

8. Conveyancing costs

  • The Deputy is permitted to utilise P’s funds to cover conveyancing costs for property transactions.
  • If choosing to instruct own practice, the Deputy should obtain 3 quotes in accordance with Re ACC [2020] EWCOP 9.
  • The Deputy should choose the most suitable quote in P’s best interests, documenting this decision in the report to the OPG.
  • If the chosen quote from the Deputy’s own practice exceeds £2,000 (plus VAT), additional authorisation from the Court is required.

Additional fixed rates of remuneration will apply to public authority Deputies and to other Deputies, who have specific authority by a Court Order to take public authority rates. These fixed fees provide clarity and guidance for deputies and ensure consistency in the assessment and recovery of costs in Court of Protection proceedings.

For more information about how we could help please contact: info@broughpartners.com Tel: 0191 300 1579

Close Menu

Brough Partners

Suite 34
7-15 Pink Lane
Newcastle upon Tyne
NE1 5DW

T: 0191 300 1579
E: info@broughpartners.com