McCreevy moves to curb legal costs at tribunals

The Government has approved measures to curb payment of legal fees to counsel at tribunals.

The Government has approved measures to curb payment of legal fees to counsel at tribunals.

The measures, announced this morning by the Minister for Finance, Mr McCreevy, are also expected to lead to a reduction in the length of tribunals and other forms of inquiry.

The new rates will represent less than 40 per cent of the maximum current rate paid to counsel and a fixed fee will be set at the outset of each tribunal on which basis daily rates will then be calculated.

From September 1st, legal personnel will be paid the equivalent of an annual salary. The Minister said this would amount to more than seven times the average industrial wage.

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Senior counsel will earn €213,098 per annum or €989 per day, with junior counsel earning €142,065 per annum, or €646 per day. Solicitors will earn €176,000 per annum or €800 per daily appearance or €100 per hour for work undertaken other than appearing at the tribunal

The new structures will apply to both newly established tribunals and to existing tribunals and inquiries.

However, the date from which the structures will be applied to current tribunals and inquiries will be determined by the Government following consultation between the Attorney General and the chairpersons of each tribunal/inquiry.

Mr McCreevy said third-party legal costs, which accounted for 68 per cent of the total cost of tribunals to date would also be contained.

Other measures include proposals designed to shorten the duration of tribunals.

Tribunals will be subject to tighter terms of reference. Procedures will be streamlined to avoid protracted oral hearings and submissions will no longer have to be read into the record.

In addition, the Government will examine other avenues to investigate matters of public concern before deciding on a tribunal as the best way forward.

Legislation to enable the new structures will be introduced by the Minister for Justice, Equality and Law reform, Mr McDowell, who has responsibility for tribunal-related legislation.

The Minister said he expected the legal costs, to be met by taxpayers, for all tribunals and inquiries to date will reach €440 million by the end of the year.

Éanna Ó Caollaí

Éanna Ó Caollaí

Iriseoir agus Eagarthóir Gaeilge An Irish Times. Éanna Ó Caollaí is The Irish Times' Irish Language Editor, editor of The Irish Times Student Hub, and Education Supplements editor.