Discount rate timeline

On 15 July 2019 the Lord Chancellor announced a new discount rate has been set at -0.25%. This new rate separates England and Wales from most comparative jurisdictions by assuming a negative rate of net investment return, although the changes expected to follow in Scotland may yet result in a negative rate in that jurisdiction too. Northern Ireland continues to have a discount rate of 2.5% as set in 2001.

Our timeline illustrates what has happened to date and expected developments going forward.

  • 14 Jul 2024

    Deadline for the next discount rate review to commence in England and Wales

  • Autumn 2020

    Expected consultation to consider the possibility of dual discount rates in England and Wales

  • Oct 2019

    Expected date for new discount rate in Scotland

  • 28 Sep 2019

    Deadline for the Government Actuary Department to recommend a new discount rate in Scotland

  • 5 Aug 2019

    New discount rate of -0.25% in force in England and Wales

  • 15 Jul 2019

    Lord Chancellor announces the new discount rate of -0.25% in England and Wales

  • 24 Apr 2019

    Damages (Investment Returns and Periodical Payments) (Scotland) Act 2019 receives Royal Assent – starting the process for the discount rate review in Scotland

  • 19 Mar 2019

    Commencement of the first discount rate review in England and Wales

  • Feb 2019

    Damages (Jersey) Law in force – introduced a new dual discount rate in Jersey

  • 30 Jan 2019

    End of ‘call for evidence’ on setting the new discount rate in England and Wales

  • 20 Dec 2018

    Civil Liability Act 2018 receives Royal Assent – starting the process for the first discount rate review in England and Wales

  • 6 Dec 2018

    Commencement of ‘call for evidence’ on setting the new discount rate in England and Wales

  • 11 May 2017

    End of consultation on how the discount rate should be set in the future

  • 30 Mar 2017

    Commencement of the consultation on how the discount rate should be set in the future in the United Kingdom

  • 20 Mar 2017

    Discount rate is reduced to -0.75% for Great Britain (Northern Ireland continues to apply the rate of 2.5%)

  • 7 May 2013

    End of consultation on the review of the Damages Act 1996 and the discount rate review framework in the United Kingdom

  • 17 Feb 2013

    Commencement of consultation on the review of the Damages Act 1996 and the discount rate review framework in the United Kingdom

  • 2001

    Discount rate is set at 2.5% for the United Kingdom