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Last month, MPs on the justice select committee asked minister Lord Keen what would happen when the government went ahead with its plan to raise the small claims limit for personal injury claims (from £1,000 to £5,000 for road traffic related claims and to £2,000 for everything else). As it is a jurisdiction in which lawyers do not generally operate – because legal costs are not recoverable – who might help claimants navigate what can still be a complex process? His answer, surprisingly, was claims management companies.

The Solicitors Regulation Authority received nearly 300 reports of personal injury (PI) law firms either paying illegal referral fees or being involved in cold-calling, it has revealed. This is in the context of there being only 768 ‘specialist’ law firms, which the Solicitors Regulation Authority defines as generating at least half their turnover from PI work.

A former worker at an accident repair firm who downloaded and sold the personal data of motorists to nuisance callers has been convicted under the Data Protection Act of unlawfully obtaining and disclosing data. Meanwhile, a barrister has been reprimanded after leaving documents on the London Underground.

The government yesterday rejected criticism that its proposed ban on cold-calling did not go far enough and voted it into the Financial Guidance and Claims Bill. A minister said it was “convinced that the new clause will have the effect of making unwanted calls from claims management services unlawful”.

The owner of a Manchester law firm which pursued personal injury cases without the consent of clients and also paid prohibited referral fees has been suspended for three years. His misconduct was “shocking and outrageous and had a significant adverse impact on the reputation of the profession”, according to the Solicitors Disciplinary Tribunal.