09 March, 2009
From the 1st February 2009 the Court basic account rate changed to 2% and the special account rate changed to 3%.
The appropriate rate of interest for special damages is the rate, over the period for which the interest is awarded, which is payable on the court special account. This was previously 6%.
In cases of continuing special damages, half the appropriate rate from the date of injury to trial is awarded. Accordingly a rate of 1.5% should be utilised.
The rate changes obviously reflect changing market conditions and will result in some saving in the cost of liability claims.