Debt Recovery

Price Transparency

Debt Recovery Service

We offer a Debt Recovery service for businesses with undisputed debts up to £100,000. For Insolvency please contact our Litigation or Insolvency departments. 

Pricing Structures

We offer a range of pricing structures in relation to our debt recovery service, including a price based on hourly rates, and the option (by prior agreement with us) to pay an agreed fixed fee for individual stages of the process. All Legal Studio fees (whether hourly rate or agreed fixed fee) attract VAT at 20% which is payable by you.


Our hourly rates are in line with the Solicitors' guideline hourly rates for Leeds Inner (National grade 1), details of which can be found at Hourly rates attracy VAT at 20% which is payable by you. 



Our average fixed fees (by prior agreement with us) are set out below. These fees assume that this is a standard debt recovery matter and that no unforeseen matters or complications arise. We consider that if a claim becomes subject to complex factual or legal issues or requires expert evidence, it is likely to fall outside of the below debt recovery guideline costs and we will discuss fees with you separately. The below fees are not inclusive of VAT, and do not include the costs of disbursements.


Drafting and sending of a Letter Before Action £500 plus VAT at 20% 
Drafting and issuing a Claim £750 plus VAT at 20%
Drafting and filing a Defence £500 plus VAT at 20%
Drafting and filing a Defence and Counterclaim £600 plus VAT at 20%
Advising on next steps, including enforcement procedures if payment is not received. £100-£200 plus VAT at 20%


To issue a claim for money, the Court fees are based on the amount claimed, including interest, and are set out below: 
Value of your claim Court Fee - No VAT is charged on court fees
Up to £300 £35
Greater than £300 but no more than £500 £50
Greater than £500 but no more than £1,000 £70
Greater than £1,000 but no more than £1,500 £80
Greater than £1,500 but no more than £3,000 £115
Greater than £3,000 but no more than £5,000 £205
Greater than £5,000 but no more than £10,000 £455
Greater than £10,000 but no more than £200,000 5% of the value of the claim
Anyone wishing to proceed with a claim should note that:
  • The VAT element of our fee (which is charged at 20%) cannot be reclaimed from your debtor.
  • Interest and compensation may take the debt into a higher banding, with a higher cost. 
  • The costs quoted above are not for matters where enforcement action is needed to collect your debt.

Anticipated Disbursements

We do not usually incur disbursements in an undisputed debt recovery matter except for the court fees outlined above (upon which no VAT is charged). If disbursements are required to be incurred, these will be discussed and agreed with you in advance and will attract VAT at 20% which will be payable by you. 


Resolving debt recovery matters can take weeks, or months, depending on the response from the other side, and whether it is necessary to issue a claim. If enforcement action is needed, the matter will take longer to resolve. However, indicative Stages and Timescales are set out below:

Stage A. Letter before Action

To prepare and send a letter before action for an undisputed invoice – 3 days
Response time to a letter before action:
  • Individual and sole traders under the Pre-Action Debt Protocol – 30 days
  • Business (companies, partnerships) – 7 days
If the debt is disputed to proceed further you will need to discuss the matter with the Litigation & Dispute Resolution Team.

Stage B. Issuing a claim

If the claim is not paid the next step is to issue the claim which we try to do within 3 working days of receiving your full instructions and payment of any required costs on account. Interest and the Late Payment fee may take your debt into a higher band of issue fees.
Once the claim is served on the debtor, they have 14 days to respond.
If the debtor files a Defence to the claim, to proceed further you will need to discuss the matter with the Litigation & Dispute Resolution Team.

Stage C. Entering Judgment

If the debtor does not reply to, or pay, the claim then, following your instructions, we will apply to the Court for judgment against the debtor.
We are allowed to apply for certain fixed costs on your behalf. We aim to apply for judgment within 3 days of receiving those instructions.

Stage D. Enforcing the Judgment

Once we have received the sealed Judgment from the Court then we can enforce it.
We initially write to the debtor to warn them that unless the Judgment is paid within 7 days we will enforce it.
If the Judgment is not paid, you have to consider how to enforce it. Much will depend on what you know of the debtor and their financial circumstances. You will need to discuss the various enforcement methods and their costs with the Litigation & Dispute Resolution Team