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Future loss of earnings claim: UK calculation method

What is a future loss of earnings claim?

How is future loss of earnings calculated?

Multiplicand = annual net loss; multiplier from Ogden tables based on age, gender, disability and employment status; net present value discount rate

What are the Ogden actuarial tables?

Government Actuary's Department; current edition; used by courts since Wells v Wells [1999]; how discount rate works

What is a Smith v Manchester award?

For cases where claimant can still work but faces a disadvantage on the open labour market; Smith v Manchester Corporation [1974]; lump sum approach

What is a Blamire award?

Where future is too uncertain to use Ogden; broad-brush approach

What if you can still work but only in a lower-paid role?

Claim for the difference; retraining costs

What evidence supports the claim?

Consultant's prognosis, employment expert, vocational assessment, payslips, tax returns for self-employed

What if your injury may deteriorate over time?

Provisional damages award — s.32A Senior Courts Act 1981

Sources

  1. Ogden Tables 8th edition (Government Actuary's Department)
  2. Wells v Wells [1999] 1 AC 345
  3. Smith v Manchester Corporation (1974) 17 KIR 1
  4. Senior Courts Act 1981 s.32A (provisional damages)
  5. Judicial College Guidelines, 17th edition (2024)

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