Page 16 - PIC-Magazine-Issue23-Autumn-Winter-24

COP COSTS ROUND UP
Hello and welcome back to what, I am happy to say, is becoming a regular article for me here in the Partners in Costs magazine.
Once again, 2024 has been a busy year, so far, for practitioners grappling with a plethora of new case law, rules, practice notes and changes within the profession. Here, I will have a look at some of the key developments that have taken place so far this year, consider their impact and explore some of the further queries arising.
As ever, this article will be of interest to professional deputies and/ or those assisting a professional deputy and to practitioners working within the Court of Protection.
Paul Cruickshanks Head of Court of Protection
at A&M Bacon.
16
INDUSTRY EXPERTS
Partners In Costs
Updates to Fixed Costs (Practice Direction 19B)
After approximately seven years, updates were finally made to Practice Direction (PD) 19B.
A welcome relief for practitioners, the updates saw increases to the various fixed costs available for the following:-
Application costs (allowance increased to £1,204 plus VAT from £950 plus VAT);
Trustee Act application costs increased to £633 plus VAT from £500 plus VAT;
First year general management fixed costs (increased to £2,116 plus VAT from £1,670 plus VAT);
Subsequent years of general management fixed costs increased from £1,320 to £1,672 plus VAT;
Lodgement of OPG report; fixed costs increased from £265 plus VAT to £336 plus VAT;
Basic tax returns increased from £250 plus VAT to £336 plus VAT;
Complex tax returns; we have seen a new direction in that firms are able to instruct their own firms to the value of up to £2,000 plus VAT, however, need to obtain two further quotes (three in total). Where costs exceed £2,000, specific authority for these costs needs to be obtained;
New category of fixed costs for “ad hoc” applications, whereby £633 plus VAT can be taken;
An increase in the threshold for “modest estate” cases, which has increased from £20,300 from £16,000, as was held for many years.
It is worth noting that practitioners are entitled to take an amount up to the figures detailed above. I am aware that many practitioners, for example, will not wish
to take the maximum amounts if the value of work undertaken falls below those amounts.
Further changes made to the practice directions have included discreet changes to the way in which the deputy is able to raise interim invoices during the course of a general management year. No longer is the deputy compelled to raise an invoice on a quarterly basis, but can do more frequently, so long as the sums invoiced do not exceed 75% of the estimated annual costs.
The above is a very simple, high level summary. For more information on these updated practice directions, I’d recommend you search
“PD19B” and you will be directed
to the new guidelines.