Guidance

Horizon Convictions Redress Scheme (HCRS): legal cost framework

Updated 30 April 2025

The government will pay the reasonable legal costs of individuals applying for financial redress under the Horizon Convictions Redress Scheme (HCRS).  

This framework sets out the costs we will pay depending on the type of application.  

We have calculated these costs based on existing redress schemes and after discussions with a range of legal firms who have represented postmasters applying to those schemes. All costs in this framework exclude VAT.  

If you are an HCRS applicant, we strongly advise that you check that a solicitor is happy to operate within the terms of the costs framework before instructing them. If you hire a solicitor who does not commit to work within our costs framework, your solicitor could pursue you for some of their fees from your financial redress.  

The firms listed in Annex A have already agreed to work within the terms of this costs framework. This means they have also committed not to make any deductions from the financial redress settlement you will receive.

The only firms and sole practitioners that can join the framework are those regulated by either:

  • the Solicitors Regulation Authority (SRA)
  • the Law Society of Scotland
  • the Law Society of Northern Ireland

Firms wishing to make this commitment and have their names added to Annex A may do so by sending their details to horizonconvictionsredress@businessandtrade.gov.uk.

Annex C sets out the implications for firms that do not join the framework, including billing requirements and how legal costs will be assessed. If your firm chooses not to join the framework, you must ensure your clients understand the impact this may have on their financial redress. This is in line with your professional obligation to be transparent about costs. We strongly encourage you to reconsider your position on the framework and commit to operating within it.

Costs framework

The amount of claimable legal costs and additional claimable legal costs that apply in each case or financial redress is dependent on which band is applicable:

Band 1 – applicant for redress applies for the £600,000 fixed sum

Where the applicant for redress applies for the £600,000 fixed sum, claimable legal costs are £30,000. Additional claimable legal costs are also detailed in the following table.

Costs that can be claimed Amount
Claimable legal costs £30,000
Costs in relation to Annulment of bankruptcy or advising client on an Individual Voluntary Arrangement (IVA) – a copy of the annulment application should be provided to substantiate these costs. If a hearing has taken place, you could alternatively provide the annulment order. For IVAs, we ask you to confirm you have provided advice and your client understands the position up to £4,000
Costs in relation to specialist tax advice for foreign residents – a copy of the invoice is required to substantiate these costs up to £4,000

Band 2 – agreed settlement is more than £600,000 and less than £1 million

Where an agreed financial redress settlement on a detailed assessment application is more than £600,000 and less than £1 million, claimable legal costs are £60,000. Additional claimable legal costs are also detailed in the following table.

Costs that can be claimed Amount
Claimable legal costs £60,000
Expert reports – accountancy up to £14,000
Expert reports – other (for example, medical) up to £4,284
Costs in relation to Annulment of bankruptcy or advising client on an Individual Voluntary Arrangement (IVA) – a copy of the annulment application should be provided to substantiate these costs. If a hearing has taken place, you could alternatively provide the annulment order. For IVAs, we ask you to confirm you have provided advice and your client understands the position up to £4,000

Band 3 – agreed settlement is more than £1 million and less than £1.75 million

Where an agreed financial redress settlement on a detailed assessment application is more than £1 million and less than £1.75 million, claimable legal costs are £75,000. Additional claimable legal costs are also detailed in the following table.

Costs that can be claimed Amount
Claimable legal costs £75,000
Expert reports – accountancy up to £14,000
Expert reports – other (for example, medical) up to £4,284
Costs in relation to Annulment of bankruptcy or advising client on an Individual Voluntary Arrangement (IVA) – a copy of the annulment application should be provided to substantiate these costs. If a hearing has taken place, you could alternatively provide the annulment order. For IVAs, we ask you to confirm you have provided advice and your client understands the position up to £4,000
Costs of consulting Counsel Waiting for decision on whether fees are claimable

Band 4 – agreed settlement is more than £1.75 million and less than £2.5 million

Where an agreed financial redress settlement on a detailed assessment application is more than £1.75 million and less than £2.5 million, claimable legal costs are £100,000. Additional claimable legal costs are also detailed in the following table.

Costs that can be claimed Amount
Claimable legal costs £100,000
Expert reports – accountancy up to £14,000
Expert reports – other (for example, medical) up to £4,284
Costs in relation to Annulment of bankruptcy or advising client on an Individual Voluntary Arrangement (IVA) – a copy of the annulment application should be provided to substantiate these costs. If a hearing has taken place, you could alternatively provide the annulment order. For IVAs, we ask you to confirm you have provided advice and your client understands the position up to £4,000
Costs of consulting Counsel Waiting for decision on whether fees are claimable

Band 5 – agreed settlement is above £2.5 million

Where an agreed financial redress settlement on a detailed assessment application is more than £2.5 million, claimable legal costs are £100,000 plus the ability to submit a case for costs above £100,000. Additional claimable legal costs are also detailed in the following table.

Costs that can be claimed Amount
Claimable legal costs £100,000 (plus the ability to submit a case for costs above £100,000)
Expert reports – accountancy up to £14,000
Expert reports – other (for example, medical) up to £4,284
Costs in relation to Annulment of bankruptcy or advising client on an Individual Voluntary Arrangement (IVA) – a copy of the annulment application should be provided to substantiate these costs. If a hearing has taken place, you could alternatively provide the annulment order. For IVAs, we ask you to confirm you have provided advice and your client understands the position up to £4,000
Costs of consulting Counsel Counsel’s fees, as reasonably incurred

Final settlement is less than £600,000

If an applicant decides to request a detailed assessment and the final settlement is less than £600,000 (less than if they had been advised to take the fixed sum settlement), the claimable legal costs of the appointed solicitor will be:

  • a maximum of £30,000 
  • plus costs for any expert reports commissioned or costs related to the annulment of bankruptcy or advice on an IVA within the maximums set out in the framework above under Bands 2 and 4

If the solicitor applies for reimbursement of costs over £100,000, we are committed to reviewing and settling these additional costs as quickly as possible. 

In the event of dispute between DBT and the relevant solicitor, the dispute will be referred to the independent panel set up as part of DBT’s Alternative Dispute Resolution process under the HCRS.

Commissioning experts

If the costs of expert reports are not higher than the maximum amount stated in the framework, the solicitor can commission a first medical report and forensic accountancy report without needing prior approval from us.

If you or your solicitor would like to commission further expert advice, your solicitor must seek prior approval from us before incurring these additional costs. See Annex B for the process for support of costs for expert evidence.

Fees for consulting counsel 

We are still discussing whether the solicitor will be able to claim for fees for consulting counsel in Bands 3 and 4. We’ll update this page when we’ve reached a decision.

Timing of payment

For Band 1, the applicable legal costs will be paid to your solicitor within 14 days of you receiving your financial redress.

For Bands 2 to 5, the costs will be paid to the solicitor in 4 instalments, each triggered by the following.

Trigger event Instalment payments per case
Eligibility confirmed and at same time as applicant paid preliminary payment £10,000
DBT receives confirmation of decision that applicant is taking the fully assessed route £10,000
Receipt by DBT of complete claim form £10,000
Receipt by DBT of applicant’s agreement to award Top up to agreed band level in line with framework above

At the end of each month, each solicitor should submit a schedule setting out:

  • the additional claimable costs for that month
  • all relevant invoices for that month

We will aim to pay solicitors these costs within 28 days of receiving the schedules.

For an expert or counsel, we will pay the disbursement fee or fee note within 28 days of receiving the invoice. This payment will include any applicable VAT.

Annex A: firms who have agreed our costs framework

The firms listed in this annex have agreed to work within the terms of this framework. Their inclusion does not indicate government endorsement. Applicants should carry out their own checks before choosing a legal representative.

Firm Email Contact
Aramm Legal Ltd prathap@arammlegal.com Prathap Giri Appavu
Ash Clifford Ltd  iparker@ashclifford.co.uk Ian Parker
Ben Hoare Bell LLP andrewfreckleton@benhoarebell.co.uk Andrew Freckleton
Bhatia Best Solicitors  joseph.rahm@bhatiabest.co.uk Joseph Rahm
Bond Turner Ltd  smoss@bondturner.com Samantha Moss and Alan Sellers
Burridge and Pluck Solicitors Ltd npluck@burridgepluck.co.uk Nicola Pluck
Cannons Law Practice LLP admin@cannonslaw.com Nicola Cannon
Clarke Kiernan LLP Solicitors civil@clarkekiernan.com John Moreland
Digby Brown LLP gordon.dalyell@digbybrown.co.uk Gordon Dalyell
Freeths LLP overturnedconvictionteam@freeths.co.uk James Hartley and Jade Flint
Gibson & Co Solicitors Limited claire.aston@gibsons-law.com Claire Aston
Hodge Jones and Allen Solicitors postofficeclaims@hja.net Cormac McDonough, Susie Labinjoh and Sasha Barton
Hodgkinsons Solicitors lwilkinson@hodgkinsons.co.uk Lisa Wilkinson
Hopkins Solicitors Ltd cwright@hopkins-solicitors.co.uk Carl Wright
Howe + Co Solicitors help@howe.co.uk David Enright
Hudgell Solicitors nmh@hudgellsolicitors.co.uk Neil Hudgell
Immisol Solicitors ahmad@immisol.co.uk and sophia@immisol.co.uk Sophia Ava
Jordans Solicitors LLP  mark@jordansllp.com Mark Newby
KRW LAW Advocates Ltd  office@kevinrwinters.com Victoria Trainor
Lewis Rodgers  stephen@lewisrodgers.co.uk Stephen Rodgers
Livingstone Brown pct@livbrown.co.uk Elizabeth McAlpine
Madden & Finucane Solicitors lynnday@madden-finucane.com Lynn Day
Middleton Law Ltd neil.fearn@middletonlawltd.co.uk Neil Fearn
Murria Solicitors gkang@murria.co.uk Galwinder Singh Kang
Nantes Solicitors Limited cherise.lukebennett@nantes.co.uk Cherise Luke-Bennett
O’Rorke McDonald & Tweed gr@omt-larne.com Liam McKendry
Schofield Sweeney  stephenlewis@schofieldsweeney.co.uk Stephen Lewis
SCM Law david@scmlaw.co.uk David Sedgwick
Shan & Co Solicitors k.shan@hotmail.co.uk Kanapathipillai Shanmugarajah
Simons Muirhead Burton stephen.shotnes@smb.london Stephen Shotnes

Annex B: process for support of costs for expert evidence

If the solicitor wishes to use expert evidence above the threshold of one medical report and one forensic accountancy report, they should send an email to horizonconvictionsredress@businessandtrade.gov.uk setting out the following:

  • case name and reference number
  • a brief explanation of reasons as to why expert evidence is reasonably required
  • a costs estimate for the proposed expert evidence and whether it is proportionate and justified by reference to the value of a relevant head of loss
  • the field in which expert evidence is required
  • issues which expert evidence will address
  • where practicable, the name of the proposed expert and details of their qualifications

We will respond to these proposals within 15 working days.

Annex C: process for firms outside the cost framework

The option to submit a claim for reasonable legal costs remains open to firms that do not join the framework. However, different billing requirements will apply, and the benefits of the framework will not be available.

We will only pay legal costs to firms or entities that meet the same eligibility criteria as those on the framework. This means they must be directly regulated by an approved legal regulatory body in England and Wales, Scotland, or Northern Ireland.

Entities that are not directly regulated but employ solicitors who are may still be eligible if they can guarantee that claimants will have direct access to those solicitors, and that the solicitors will be responsible for providing legal advice. This includes, for example, direct access barristers and law centres.

DBT will not pay legal costs to representatives who are not directly regulated. 

The process includes the following principles:

  • we will not make any payment to a solicitor operating outside the framework before their claimant’s HCRS claim is settled
  • we will require a full bill of costs to be submitted
  • the bill of costs must demonstrate the work undertaken, time taken, and the grade of fee earner who undertook the work
  • the submitted bill of costs will be subject to an assessment of reasonableness – the reasonable hourly rate to be claimed should not exceed the published guideline hourly rates for your geographical location, and we will not pay a higher hourly rate than this
  • we will not pay any costs that exceed the relevant bands or agreed rates for disbursements in the legal costs framework. We may pay less depending on what is reasonable in the circumstances of the individual claim upon consideration of your bill. There is no financial advantage in not signing up to the framework
  • we will not make any commitment on turnaround time for reviewing the bill of costs and payment of fees – the interim payments on account of legal costs available under the framework will not apply
  • if we pay for your fees to any degree, it should be uncontroversial that you must not charge your client for the same costs

Committing to the legal costs framework provides clear benefits for firms. It offers a fixed payment structure, removing the need for detailed billing. Firms can receive instalment payments at key trigger points. Payment is made within 14 days for Band 1 claims and 28 days for Bands 2 to 5.