Move to ban postcode pricing will not progress further

Ex-justice secretary Jack Straw’s Ten-Minute Bill to reform motor insurance regulation ran into the sand this week after the government objected to its further progress through the House of Commons.

The Bill was not moved for debate when it was scheduled for its second reading last Friday.

This means that the legislation has lapsed with no indication that it will progress further, according to the Parliament website.

The bill proposes banning referral fees, slashing solicitors’ fixed fees, an end to postcode risk pricing and demanding that claimants provide greater evidence when seeking compensation for whiplash injuries.

Since Straw tabled his bill in September, the government has implemented a ban on referral fees and has promised to cut the sums paid to lawyers for low value claims.

In addition, the Transport Select Committee backed Straw’s move to raise the bar on whiplash cases when it recently published its follow-up report into the cost of motor insurance.