​What is a detailed assessment of costs?

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A detailed assessment is the court process used to determine which legal costs are recoverable and in what amount after litigation. Where the parties cannot agree the amount payable following a costs order, the receiving party serves a bill of costs and the paying party may respond with Points of Dispute. The court then determines the reasonable and proportionate level of recovery.

For a full explanation of the procedure see our guide:  Detailed Assessment of Costs Guide.

 

What are Points of Dispute?

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Points of Dispute are the formal response served by the paying party to challenge a bill of costs during detailed assessment proceedings. They set out the reductions sought and typically challenge issues such as proportionality, hourly rates, delegation of work and the scope of work undertaken.

See our guide: How Paying Parties Challenge a Bill of Costs at Detailed Assessment.

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How much can a bill of costs be reduced at detailed assessment?

The reduction applied to a bill of costs during detailed assessment depends on the issues raised in Points of Dispute and the evidence supporting those challenges. Courts commonly reduce bills where hourly rates exceed the Guideline Hourly Rates, where work has not been properly delegated, or where the overall costs claimed are disproportionate to the value and complexity of the litigation. In practice, reductions may arise from duplication of work, excessive partner involvement, or procedural inefficiencies identified during assessment.

For a practical explanation of how paying parties challenge bills and secure reductions, see our guide: How Paying Parties Challenge a Bill of Costs at Detailed Assessment.

 

When are Guideline Hourly Rates challenged?

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Guideline Hourly Rates are often challenged during detailed assessment where the rates claimed exceed the benchmark figures typically allowed by the courts. Paying parties frequently argue that the grade of fee earner or the complexity of the work does not justify the rates claimed.

Further guidance can be found here: Guideline Hourly Rates 2026

 

What is proportionality in legal costs?

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Proportionality is a key principle applied by the courts when assessing costs. Even where individual items of work were reasonably undertaken, the court may reduce the overall bill if the total costs claimed are disproportionate to the value, complexity or importance of the litigation.

See our guide: Proportionality Challenges at Detailed Assessment

 

What does a Costs Lawyer do?

A Costs Lawyer is a regulated specialist legal professional who advises on legal costs, prepares costs documents such as bills of costs and budgets, negotiates settlements and represents parties at costs hearings. Costs Lawyers may also provide strategic advice on proportionality, recoverability and costs management.

For a fuller explanation see: Costs Lawyer vs Law Costs Draftsman

 

When should solicitors instruct a costs specialist?

Solicitors often instruct specialist costs lawyers or law costs draftsmen when a bill of costs has been served and a dispute is anticipated. Early specialist involvement can assist with drafting Points of Dispute, negotiating settlement and preparing for detailed assessment proceedings.  Our paying party services page explains this further.

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Do you deal with Court of Protection costs?

Yes. We regularly assist professional deputies and solicitors with Court of Protection bills and General Management Costs claims. This includes preparing Court of Protection bills, responding to SCCO queries and assisting with the assessment process before the Senior Courts Costs Office.

Further information is available here: https://www.sphcosts.com/court-of-protection-bills

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Do you prepare Legal Aid costs claims and High Cost Case Plans?

Yes. We provide specialist legal aid costs drafting including preparation of CCMS claims, escape fee calculations and Legal Aid High Cost Case Plans (HCCP). We also assist with responding to Legal Aid Agency queries and challenging reductions or refusals.

More information about our legal aid costs services can be found here: https://www.sphcosts.com/legally-aided-costs

 

Can you assist with costs budgeting and Precedent H?

Yes. We regularly prepare and review Precedent H costs budgets, assist with Precedent R negotiations and advise on budgeting strategy before Costs and Case Management Conferences. Accurate budgeting is essential because recoverability may later be limited by the approved budget phases.

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Do you act for paying parties and receiving parties?

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Yes. We advise both paying parties seeking to challenge excessive costs and receiving parties seeking to maximise recovery. Our work includes drafting bills of costs, Points of Dispute and Replies, negotiating settlements and representing parties at detailed assessment hearings.