The Department of Justice has made a Statutory Rule entitled “The Damages (Process for Setting Rate of Return) Regulations (Northern Ireland) 2024" (2024 No. 137), which comes into operation on 1st July 2024.

The Rule alters some of the parameters which are to be used by the official rate-assessor (the Government Actuary) in setting the rate of return for the purposes of section C1(1) of the Damages Act 1996. The rate of return is known as the Personal Injury Discount Rate and is used in the calculation of awards of damages for future pecuniary loss in an action for personal injury.

Regulation 2 increases (from 0.75 to 1.25) the number of percentage points which are, as a standard adjustment, to be deducted to represent the impact of taxation and the costs of investment advice and management.

Regulation 3 changes the basis on which the rate-assessor is to make allowance for the impact of inflation. Information known as “Average Weekly Earnings” is to be used instead of the retail prices index.

This Rule may be purchased from the Stationery Office at www.tsoshop.co.uk or by contacting TSO Customer Services on 0333 202 5070, or viewed online at http://www.legislation.gov.uk/nisr