The Lord Chancellor's Department (LCD) is to begin a review to establish whether the "no win, no fee" regime, which is used in personal injury cases, can be simplified.
Despite previous reforms, which removed legal aid for many personal injury cases, claimants have continued to use a mixture of success fees and insurance to pursue their cases.
According to reports, Baroness Scotland, parliamentary secretary at the LCD, told personal injury lawyers last week that government officials would be "reviewing and consulting on whether and how the conditional fee agreement and related regulations could be simplified and made more transparent across the board".
She added: "This has been a tremendous waste of resources for all involved and may have affected the effective delivery of access to justice."
