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Councils are facing huge financial pressures, thanks to an ‘increasingly litigious' society. This was the finding of a survey of local authorities by law firm Eversheds. In the last 12 months alone, 40% of local authorities surveyed experienced an increase in the number of disputes, with judicial reviews showing the largest increase. ‘The findings confirm what we know is happening in the sector,' said Stephen Cirell, head of the local government sector at Eversheds. ‘We seem to be moving to a more US-style, litigious society, which puts local authorities in the frontline. ‘They need to have the teams and resources available to handle a range of litigation cases, from judicial reviews through to complex contractual issues, and often high-value property disputes.' Research organisation, In-comes Data Services, revealed one area where there had been a ‘huge surge' in tribunal applications was equal pay. An IDS report stated: ‘The increase is largely accounted for by litigation concerning the ongoing saga of equal pay in local authorities, and the implementation of so-called single-status agreements in the public sector.' The rise of the no-win, no-fee lawyer has also encouraged members of the public to increasingly make claims against their council for falls and slips, through to burst water pipes. Eversheds' research showed councils were moving to a ‘multi-channel' approach to providing legal services, with a greater emphasis on using counsel and external legal support as well as strengthening in-house legal teams. According to Mr Cirell, in light of the increase in litigation, over the coming year, almost one-third of local authorities anticipate an increase to their internal legal teams.

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FINANCE

Council litigation costs soar

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