Our power to amend financial assessment: potential scenarios

Where a mistake has been made in assessing disposable income, disposable capital or maximum contribution, we may correct that mistake. Any corrections to the assessment take full effect as if it were the original assessment.

We may reassess disposable income, disposable capital and maximum contribution, if there has been a substantial change in your client’s financial circumstances.

We will carry out a reassessment if:

• Your client’s overall disposable income increases by £500 or more, or decreases by £200 or more, within the 12 month computation period.
• Your client’s capital increases by £500 or more, during the life of the case.

We will reassess capital if it has increased by £500 or more.

If your client’s financial circumstances change they should contact us immediately. .

Your client needs to make a fresh application for legal aid if a change in circumstances has made them potentially eligible. The original assessment cannot be revised in terms of regulation 28(2) of the 2002 Regulations.

Usually, we will fix the contribution payable at the same amount as the maximum contribution assessed.  However, in the application, we ask you to estimate the likely cost of the case.  If the maximum contribution is much greater than the estimated cost of the proceedings, we may restrict the contribution to the estimate which you provide. We have power, under regulation 28(3) of the 2002 Regulations, to increase any restricted contribution. The amount which we ask your client to pay will never exceed the maximum contribution, unless clawback is applicable.