The Department of Justice has published draft legislation relating to the review of the Personal Injuries Guidelines. The draft legislation, titled the General Scheme of the Judicial Council (Amendment) Bill 2026, would amend the Judicial Council Act 2019 and extend the review period for the Guidelines from the current three years to five years.
This follows developments last year when, after the required three-year review, the Judicial Council approved a proposal for an overall increase of 16.7% in damages to be awarded for personal injuries, but the Minister decided not to seek approval for that increase from the Oireachtas. Chief Justice Donal O’Donnell expressed concern at the time about the failure to update the Guidelines. The draft Bill also includes a mechanism for the Judicial Council to reconsider revised Guidelines in circumstances where the Oireachtas does not approve the judges’ proposals, as occurred last year, and it requires the Personal Injuries Guidelines Committee to conduct research on damages for personal injuries, including the level of damages awarded by courts and quasi-judicial bodies outside the State.
On one level, a structured review cycle is a positive step. It means the Guidelines are not fixed permanently and there is a clear point in time when they will be reconsidered. However, five years is a long time in modern Ireland, particularly when we are dealing with rising costs across almost every part of day-to-day life.
Compensation Has to Remain Meaningful in Real Terms
The purpose of personal injury compensation is to recognise pain and suffering, as well as the disruption an injury causes. It’s not meant to “reward” someone, but to fairly acknowledge what has happened and what has been endured.
But fairness is not just a legal concept. It also has a real-world meaning.
A compensation award that appears reasonable in one year can feel very different a few years later, especially if the cost of living continues to rise. When inflation increases, the practical value of money decreases. That is not theory, it is something people experience every week when they pay for shopping, fuel, childcare, rent, or mortgage repayments.
The Inflation Issue: A Simple Example
To put it in straightforward terms:
- an award of €10,000 in 2021
- would need to be approximately 23% higher by 2026
- to have the same value, meaning €12,300+
That difference is not minor. It’s the difference between an award that feels like it genuinely reflects an injury, and one that may not stretch as far as intended.
Why the Review Timeline Matters for Injured People
Many people assume that compensation is automatically adjusted as the economy changes. In reality, that is not how the system works.
For many personal injury claims in Ireland, the Personal Injuries Guidelines influence the level of general damages, which relates to pain and suffering.
If the Guidelines are reviewed only every five years, there is a risk that compensation levels may fall behind economic reality in the periods between reviews. This matters because personal injury claims are not only about the injury itself.
They are often about the knock-on effects:
- the impact on work and earnings
- the ability to care for children or family members
- ongoing pain or reduced mobility
- loss of confidence or anxiety following an accident
- reduced independence and quality of life
Even where special damages can be claimed for medical expenses or loss of earnings, general damages remain a central part of many claims, and those figures need to stay relevant.
A Case for More Regular Reviews
A five-year review cycle may be workable in a stable economy. But when inflation rises quickly, five years can simply be enough time for the real value of awards to change significantly.
For that reason, there is a strong argument that the Guidelines should be reviewed more regularly, or at least that there should be flexibility to revisit them sooner where economic conditions change substantially.
A review system should protect consistency, but it should also protect fairness. Those two aims should not be in conflict.
The Importance of Early Advice
Personal injury claims are often more complex than they first appear. Even where liability seems clear, the medical evidence and the long-term consequences of an injury can take time to fully understand.
At Anthony Joyce & Co Solicitors, we advise clients throughout Ireland on personal injury claims, including how the Personal Injuries Guidelines may apply and how compensation is assessed in practice.
If you have been injured and want clear advice on your options, we are here to help.
Contact us today for more information.
