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UK Clinical Negligence Market Report 2026

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    Report

  • 45 Pages
  • September 2026
  • Region: United Kingdom
  • IRN Legal
  • ID: 5659634

Legal fees from CN cases continue to grow and cases settled likely to increase

This is the ninth annual edition of a report providing a review of the clinical negligence (CN) legal market, looking at key market developments and issues, market size and trends, the key players and future trends.

Key findings are:

  • In the year 2025/26 (to end-March), the analyst estimates law firms earned revenue of over £1.8 billion from CN cases, increasing by 7.4% on the previous year.
  • Clinical claims reported at NHS Resolution (NHSR) increased by 5.6% to 15,236 in 2025/26 but claims closed were down on the previous year mainly due to operational delays caused by the launch of new case management system, CaseHub.
  • Claimant legal fees continue to grow year-on-year reaching £622.2m in 2025/26 from £620.9m in 2024/25.
  • In the next 12 to 18 months, both CN claims registered and closed are projected to increase. Claims completed dipped in 2025/26 due to teething problems with a new NHSR case management system, but this system should start to improve the efficiency of the claims process and increase claims completed volumes.
  • The ageing population is creating a growing demand for more medical procedures, medication, and regular care and treatments while staff in A&E departments in particular are coming under more and more pressure from increasing workloads. Both these factors are likely to see CN claims increase beyond the next 18 months along with other factors such as higher healthcare costs, more complex surgical procedures, and increased patient awareness of healthcare services and issues.
  • Uncertainty over extending the fixed recoverable costs (FRC) remains and any broadening of the FRC regime could see more firms leave the sector. The growing use of AI in healthcare, while largely beneficial, is likely to open up new avenues for CN claims. Issues could arise over who is responsible for AI mistakes - health professionals or the AI tool itself.

Table of Contents

EXECUTIVE SUMMARY
  • Introduction
  • Total legal revenue estimated to have grown by 7.4% in 2025/26
  • Number of claims settled slipped in the latest year
  • NHS spending on claims continues to grow
  • Claims going to trial or proceedings fall for the fifth year running
  • Long-term market growth expected
INTRODUCTION
  • Overview
  • Two types of damage payments
  • Lump sum payment and the PIDR
  • Provisions
MARKET STRUCTURE
  • Four main market participants
  • Clinical negligence indemnity/insurance cover
  • Damages Claims Service
MARKET DEVELOPMENTS AND DRIVERS
  • Public Accounts Committee (PAC) report on clinical negligence costs .
  • April 2026 government response to the PAC report
  • National Audit Office investigation into clinical negligence costs
  • More scrutiny of clinical negligence claims and costs
  • Supreme Court recognises lost years compensation for child claimants
  • The Amos review of NHS maternity services identifies systematic failures
  • Report highlights liability risks for clinicians using AI tools
  • Emergency medicine & orthopaedic surgery lead claim numbers
  • Average claimant legal costs increasing for claims up to £25,000
  • Percentage of cases leading to legal proceedings continues to fall
  • Mediation numbers increase in latest year
THE KEY PLAYERS
  • Main claimant legal advisers
  • Main defendant legal advisers
  • M&A Activity
  • Selected Law Firm Profiles
  • Bevan Brittan
  • Bolt Burdon Kemp
  • Browne Jacobson
  • Capsticks
  • Clyde & Co
  • DAC Beachcroft
  • DWF Law
  • Enable Law
  • Fieldfisher
  • Fletchers
  • Gadsby Wicks
  • Hempsons
  • Hill Dickinson
  • JMW Solicitors
  • Irwin Mitchell
  • Kennedys Law
  • Leigh Day
  • Penningtons Manches Cooper
  • Simpson Millar
  • Slater & Gordon UK
  • Stewarts Law
  • Switalskis Solicitors
  • Thompsons
  • Weightmans
MARKET SIZE AND TRENDS
  • Volume of cases registered increase but claims settled drop at the CRU
  • NHS Resolution claims reported continue to grow but big drop in claims closed
  • Damages paid and legal costs increase for third year running
  • Medical Protection Society (MPS)
  • Medical and Dental Defence Union of Scotland (MDDUS)
  • Medical Defence Union (MDU)
  • Medical Defence Shield (MDS)
  • Medical Defence Society
  • Pharmacists Defence Association
  • Other medical malpractice insurance and indemnity providers
  • Clinical negligence legal revenue growth of 7.4% to over £1.8bn
FUTURE DEVELOPMENTS
  • Increases in both claims registered and settled expected
ASSOCIATIONS

Companies Mentioned

  • Bevan Brittan
  • Bolt Burdon Kemp
  • Browne Jacobson
  • Capsticks
  • Clyde & Co
  • DAC Beachcroft
  • DWF Law
  • Enable Law
  • Fieldfisher
  • Fletchers
  • Gadsby Wicks
  • Hempsons
  • Hill Dickinson
  • JMW Solicitors
  • Irwin Mitchell
  • Kennedys Law
  • Leigh Day
  • Penningtons Manches Cooper
  • Simpson Millar
  • Slater & Gordon UK
  • Stewarts Law
  • Switalskis Solicitors
  • Thompsons
  • Weightmans