Claims management experts at Eversheds said they have broadly welcomed the new measures to tackle the UK's perceived ‘compensation culture' but added that they believe further action could have been taken.
Brendan Padfield, head of claims management at Eversheds, said: "This is extremely good news and the regulation of so called ‘claims farmers' will help in curbing spurious claims.
"It is a real shame that the Government did not take further action and increase the small claims personal injury limit to £5,000 – this would have had a real impact on the perceived compensation culture.
"The really interesting part of this draft legislation is a new measure designed to protect the likes of a school trip - something that has been dying out in a culture of fear of claims.
"The introduction of a ‘social utility defence' will help to protect those activities that should be a part of every day life."
