Written questions by Smith.

What assessment he has made of the potential implications for his policies of the Civil Justice Council report entitled Review of Litigation Funding - Final Report.

The Government recognises the critical role third-party litigation funding plays in access to justice and is committed to ensuring it works fairly for all. That is why we intend to introduce legislation to enact the two primary recommendations of the Civil Justice Council’s review when parliamentary time allows. Once this work has been completed, my officials will consider the remaining recommendations in more detail. New legislation will mitigate the effects of the PACCAR judgment by clarifying that Litigation Funding Agreements are not Damages Based Agreements, with prospective effect. Furthermore, the Government intends to introduce proportionate regulation of Litigation Funding Agreements. Further details can be read in the Written Ministerial Statement issued on 17 December 2025: https://questions-statements.parliament.uk/written-statements/detail/2025-12-17/hcws1192.

Whether he has made an assessment of the potential merits of providing long-term funding for specialist sexual violence and abuse services.

My Department is committed to the Government’s pledge to halve Violence Against Women and Girls (VAWG) in a decade. We have committed £550 million to victim support services over the next three years – the biggest investment in victim support services to date.The 42 Police and Crime Commissioners (PCCs) in England and Wales receive annual grant funding from the Department’s victim and witness budget to commission local practical, emotional, and therapeutic support services for victims of all crime types. This includes services for victims of sexual abuse. In addition, MoJ provides funding through the Rape and Sexual Abuse Support Fund to over 60 specialist organisations, supporting victims of all ages to cope with their experiences and move forward with their lives.On 1 December 2025, all PCCs and RASASF recipients received confirmation that their grants will be extended for two years until March 2028, with a 2% year-on-year uplift.In light of the announcement to abolish the PCC function in May 2028, we have held back confirmation of year three funding. This enables us to explore changes to the longer-term delivery of victims funding to ensure this is delivered in the best way in the future. This will include extensive engagement with partners, including PCCs and RASASF recipients, to ensure we can continue to provide the right support to victims.

What plans his Department has to publish a response to the Civil Justice Council's report entitled Review of Litigation Funding, published on 2 June 2025.

The Government recognises the critical role third-party litigation funding plays in access to justice. That is why we are committed to ensuring it works fairly for all.The Civil Justice Council’s review will help inform the Government’s approach to any potential reforms in this area. The Government welcomes this review and is carefully considering the detailed recommendations in the final report . We will outline next steps in due course.

Whether she has made an assessment of the potential merits of reforming the grievance and complaints process in employment claims to mandate mediation.

The Government has not made a decision to introduce mandatory mediation in Employment Tribunal claims. We are continuing to explore and assess the potential merits of options to utilise more mediation and alternative dispute resolution in the context of the forthcoming Employment Rights Bill.

What recent discussions she has had with relevant stakeholders on the enforcement of third party litigation funding agreements following the PACCAR judgement.

The Government recognises the critical role litigation funding plays in ensuring access to justice.I have engaged with relevant stakeholders on the enforcement of third party litigation funding agreements and the wider market following the PACCAR judgment via my officials.The Government is due to receive the Civil Justice Council’s (CJC) report on litigation funding in summer 2025, which will inform further decisions on policy and legislation. As part of their review, the CJC conducted a consultation with key stakeholders in relation to third party litigation funding.

Whether she had made an assessment of the potential merits of the use of mandatory mediation in (a) group actions and (b) class action claims.

The merits of mediation are considerable. It offers parties a swifter and less costly way to resolve legal disputes and can save parties the time and cost of going to court, thus saving sitting days and reducing the court backlog.The Government has no plans to consider mandatory mediation at this time but continues to explore opportunities to expand the use of dispute resolution across the civil justice system.

What discussions she has had with relevant stakeholders on the use of mediation in administrative justice claims.

Administrative justice issues extend across a very broad range of diverse disputes and jurisdictions. The Government continues to engage with stakeholders on the use of Dispute Resolution across various jurisdictions.

What steps she is taking to encourage higher attendance rates at the Small Claims Mediation Service.

Since the introduction of integrated mediation for small claims under £10,000 in the county courts in 2024, attendance at mediation appointments has been mandatory. As part of the litigation journey, parties are required to attend a free, one-hour mediation appointment with HMCTS’ Small Claims Mediation Service.Where mediation is not successful, the case will progress to a court hearing.

What discussions she has had with relevant stakeholders on the expansion of mandatory mediation to higher value claims.

The Ministry of Justice continues to engage with stakeholders to explore ways that Dispute Resolution can be used across various jurisdictions. No decision has been made to introduce mandatory mediation to higher value claims, and options to use different Dispute Resolution approaches remain open.

What discussions she has had with the Small Claims Mediation Service on the introduction of mandatory mediation for small claims.

The HMCTS Small Claims Mediation Service has been closely involved in the implementation of mandatory mediation for small claims in the county courts, working together with the Ministry of Justice to ensure that the service and its staff are fully prepared to manage the increase in case volume.

What assessment she has made of the potential impact of mandatory self-regulation on third party litigation funders.

The Government recognises the critical role litigation funding plays in ensuring access to justice.Following the PACCAR judgment, concerns have been raised about the need for greater regulation of the litigation funding market, which currently operates a system of voluntary self-regulation.The Civil Justice Council is considering this issue in its review of litigation funding in England and Wales, which will conclude in summer 2025. Once the Government receives this report, it will assess the potential impact of its recommendations on funders, claimants and the wider market.

Whether she has had recent discussions with Lawtech UK on the feasibility study for an SME online dispute resolution platform.

In 2021, LawtechUK delivered a feasibility study for the development of an online platform that could assist smaller businesses in recovering unpaid debts. The study demonstrated how the platform could be established and become financially self-sustaining. It set out a business case for potential developers and estimated that the platform, if built, could support the resolution of 200,000 disputes over a five-year period, accounting for £3.4 billion in debt value.The intention of the study was not for LawtechUK or Government to fund or develop the platform itself but was aimed at raising awareness of the issue and encourage innovative developers to build and finance the technology. The current phase of LawtechUK does not have any plans to revisit this issue at present.