In civil litigation, costs are often treated as a secondary issue until they become a problem. In reality, the timing of your instruction of a costs lawyer can have a significant impact on recoverability, risk, and overall case strategy.

Costs lawyers are specialists in legal costs, providing advice and support across all stages of litigation. From drafting costs budgets to handling detailed assessment proceedings, early involvement can often prevent issues that are difficult to resolve later.

The question is not simply what a costs lawyer does, but when their input is most valuable.

 

What Does a Costs Lawyer Do?

Costs lawyers are experts in legal costs who advise on the recovery, negotiation, and assessment of costs in litigation across England and Wales. Their role sits alongside solicitors and counsel, but with a specific focus on ensuring that costs are properly managed and recoverable.

This includes drafting bills of costs, preparing and managing costs budgets, advising on strategy, and dealing with disputes between the receiving and paying party. In many cases, a costs draftsman will also be involved in the preparation of formal costs documents.

Costs lawyers are regulated by the Costs Lawyer Standards Board under the Legal Services Act 2007, and are subject to a code of conduct, professional standards, and continued professional development requirements. As regulated legal professionals, they are also required to maintain appropriate professional indemnity insurance.

 

Early Instruction: Before Costs Become an Issue

One of the most common mistakes is instructing a costs lawyer too late.

Early involvement – particularly in multi-track litigation or complex claims – allows costs to be considered alongside the substantive case, rather than as an afterthought. This can be particularly important where there are issues around proportionality, funding, or case management.

At this stage, a costs lawyer can assist with:

• preparing realistic and defensible costs budgets
• identifying risks to recoverable costs at an early stage
• aligning litigation strategy with costs recovery objectives

In cases involving legal aid or more complex procedural frameworks, early input can help ensure that costs are structured appropriately from the outset.

 

During Litigation: Managing Costs as the Case Develops

As litigation progresses, costs issues often become more pronounced. Changes in scope, additional work generated by the conduct of the opposing party, or procedural developments can all affect the overall costs position.

Instructing a costs lawyer during proceedings allows for a more proactive approach to managing these issues. Rather than reacting at the end of the case, costs can be monitored and adjusted in real time.

This might include advising on revisions to costs budgets, supporting negotiations between the parties, or identifying where costs exposure is increasing in a way that may affect recoverability.

 

Pre-Assessment: Preparing for Recovery

As a case approaches conclusion, the focus shifts from managing costs to recovering them.

This is a critical stage. The preparation of a bill of costs, or other costs documentation, will often determine the extent to which costs are successfully recovered from the paying party. Errors or omissions at this stage can be difficult to rectify later.

A costs lawyer or costs draftsman will ensure that:

• the bill of costs is compliant and properly structured
• time entries and disbursements are clearly evidenced
• potential challenges are identified in advance

The aim is to present a robust and defensible claim for costs before any dispute arises.

 

Detailed Assessment and Costs Disputes

Where costs cannot be agreed, matters proceed to detailed assessment. This is a technical and often contested process, where the approach taken can have a significant impact on the outcome.

Costs lawyers play a central role at this stage, both in preparing the necessary documentation and in advancing arguments on behalf of their client. This includes dealing with points of dispute, replies, and, where necessary, attending hearings.

Given the importance of proportionality and reasonableness at detailed assessment, early preparation and specialist input are key to achieving a favourable result.

 

Strategic Use of Costs Lawyers

In many cases, the value of a costs lawyer lies not just in drafting or assessment work, but in strategic input throughout the life of the case.

Costs considerations increasingly influence decisions around settlement, case management, and overall litigation strategy. In higher-value or more complex claims, these issues can be as significant as the substantive dispute itself.

A costs lawyer can provide guidance on how best to approach these decisions, ensuring that costs are managed in a way that supports the broader objectives of the case.

 

Regulatory and Professional Standards

Costs lawyers are regulated legal professionals, operating within a defined framework of professional and ethical obligations. Regulation by the Costs Lawyer Standards Board ensures compliance with a recognised code of conduct, as well as requirements relating to training, competence, and continued professional development.

This provides reassurance that advice is being given by specialists with a clear understanding of both the procedural rules and the practical realities of costs recovery.

 

Practical Considerations – when SHOULD you instruct a costs lawyer?

Deciding when to instruct a costs lawyer will depend on the nature of the case, but there are a number of common trigger points.

These include:

• the need to prepare or revise a costs budget
• significant developments affecting the scope or complexity of the case
• the approach of trial or settlement
• the preparation of a bill of costs
• the emergence of a dispute regarding recoverable costs

In many cases, earlier instruction will lead to a more controlled and predictable costs outcome.

 

How Greener Costs Can Assist

Greener Costs provides specialist support across all aspects of legal costs, from early-stage advice through to detailed assessment proceedings.

Our team works closely with legal professionals to ensure that costs are properly managed, recoverable, and aligned with the overall strategy of the case. Whether you require assistance with budgeting, drafting, or costs disputes, early involvement can help reduce risk and improve outcomes.

If you would like to discuss how we can assist, contact Greener Costs today:

📞 01204 263047
📧 info@greenercosts.co.uk

 

Frequently Asked Questions

When is the best time to instruct a costs lawyer?

Ideally, a costs lawyer should be instructed early in the litigation process, particularly in complex or multi-track cases, to assist with budgeting and strategy.

Do I need a costs lawyer for every case?

Not necessarily. However, in cases involving significant costs, disputes, or detailed assessment, specialist input can be highly beneficial.

What is the difference between a costs lawyer and a costs draftsman?

A costs draftsman typically focuses on preparing bills and documentation, whereas a costs lawyer can also provide legal advice and conduct litigation in relation to costs.

Are costs lawyers regulated?

Yes, costs lawyers in England and Wales are regulated by the Costs Lawyer Standards Board and must comply with professional and regulatory requirements.