Part 2: Personal Injury Discount Rate Section 10: Assumed rate of return on investment of damages.
This section revokes section 1 of the Damages Act 1996 for England and Wales and replaces it for England and Wales with a new provision: section A1. It also inserts a new schedule A1 into the Damages Act 1996, providing the detail about how the Lord Chancellor is to approach the review and setting of the discount rate. The new schedule makes changes to the methodology according to which the discount rate is set; provides for an initial review of the rate to start within 90 days of Royal Assent and to be completed within 140 days of starting and, thereafter, for reviews to take place at least once every five years; and makes provision for the establishment of an independent expert panel that the Lord Chancellor must consult in setting the rate on all reviews following the first review.