The UK remains one of the premier jurisdictions for litigation funding, with an array of funders based in the country and a regulatory structure that largely allows for the industry to self-regulate. However, within the UK, there is a natural bias towards funding opportunities in London, both in terms of value and volume, leading some industry figures to highlight the need for expansion to the UK’s regional markets.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
The UK remains one of the premier jurisdictions for litigation funding, with an array of funders based in the country and a regulatory structure that largely allows for the industry to self-regulate. However, within the UK, there is a natural bias towards funding opportunities in London, both in terms of value and volume, leading some industry figures to highlight the need for expansion to the UK’s regional markets.
Writing in The Scotsman, Nicola Ross, a partner at Morton Fraser, argues that litigation funding could be the key to providing added resilience for Scottish businesses in this difficult economic climate. However, the article also suggests that due to the often lower value of disputes in Scottish courts, traditional funders based in London have not taken an interest in these cases.
Ross does highlight that with the Scottish legal system now allowing class actions in the form of group proceedings, there should be more opportunities of interest to these funders. However, the speed at which this evolution can happen is of key importance, she argues, as Scottish businesses struggling under the instability of the financial markets will not be able to continue accessing legal redress without support from the third-party funding sector.
