On 1 April 2013 s26 of the Legal Aid Sentencing and Punishment of Offenders Act (“the Act” in this section) replaced s11 of the Access to Justice Act 1999. S26(1) of the Act provides that costs ordered against an individual who is a legally aided party in relevant civil proceedings must not exceed the amount (if any) which it is reasonable for that party to pay having regard to all the circumstances, including:
(i) the financial resources of all the parties to the proceedings; and
(ii) their conduct in connection with the dispute to which the proceedings relate.
The Civil Legal Aid (Costs) Regulations 2013 (“the Regulations”) are Regulations made in accordance with the Act and provide a procedure to determine whether or not a costs order could and should be made against the Lord Chancellor and/or a legally aided party.
Part 2 of the Regulations deals with costs protection, which only applies to costs incurred by the receiving party in relation to proceedings which are, as regards the legally aided party, relevant civil proceedings (or contemplated proceedings) before the court.