No Win No Fee: A Plain-English Guide to Conditional Fee Arrangements
Published 7th of January 2013·Updated 25 April 2026
Reviewed by: Reviewed for accuracy April 2026
A no win no fee agreement means your solicitor takes no fee if your claim is unsuccessful. The formal name is a Conditional Fee Arrangement (CFA), and it allows people to pursue compensation claims - most commonly for personal injury - without paying legal costs upfront. But "no fee" is not always the full story, and understanding the detail matters.
Short Summary
No win no fee agreements are formally known as Conditional Fee Arrangements (CFAs) and are regulated by the Solicitors Regulation Authority.
If you win, your solicitor's basic fees are usually recovered from the losing party. The solicitor may also charge a "success fee" of up to 25 per cent of your compensation.
If you lose, you may still face costs - including the other party's legal fees - unless you have After the Event (ATE) insurance to cover these.
Always get a clear, written breakdown of every potential cost before signing a CFA, including what happens if you lose partway through the case.
What is a Conditional Fee Arrangement (CFA)?
A CFA is a legal funding agreement in which your solicitor only charges a fee if your case succeeds. If you win, the solicitor recovers their base costs from the losing party and may also charge you a success fee - capped by law at 25 per cent of your compensation in personal injury cases. If you lose, you pay no solicitor's fee.
CFAs were introduced to enable people on low or middle incomes to pursue legitimate claims without the financial risk of upfront legal costs. They are regulated by the Solicitors Regulation Authority (SRA) and must comply with specific disclosure requirements set out in the Courts and Legal Services Act 1990.
Can you keep 100 per cent of your compensation?
Not always. If your solicitor charges a success fee, this comes out of your compensation, not from the other party. In personal injury cases, the success fee is capped at 25 per cent of the damages awarded for pain, suffering and financial losses (excluding future care costs). In practice, many solicitors charge 25 per cent as a standard rate.
Some solicitors advertise "100% compensation" claims, meaning they absorb the success fee themselves and recover all costs from the losing party. These arrangements exist but are less common. If 100 per cent compensation is important to you, confirm this explicitly in writing before signing anything.
What costs can you face if you lose a no win no fee claim?
This is the most important question to ask before signing. If you lose, you typically do not pay your own solicitor. However, you may be ordered to pay the other party's legal costs - which in complex cases can reach tens of thousands of pounds.
Most no win no fee solicitors recommend taking out After the Event (ATE) insurance to cover this risk. ATE insurance is typically taken out after the incident but before the claim is formally lodged. The premium is usually paid only if you win (from your compensation) or covered by the losing party. If the case fails, a deferred-premium ATE policy means you pay nothing.
Ask your solicitor specifically: what costs will I face if I lose, and is ATE insurance included or recommended?
How do you find a good no win no fee solicitor?
For personal injury and clinical negligence claims, look for solicitors accredited by the Association of Personal Injury Lawyers (APIL) or the Law Society's Personal Injury Panel. These accreditations indicate expertise in this specific area of law.
During your initial consultation - which should always be free - a competent solicitor will:
- Carry out a risk assessment of your claim's prospects of success
- Explain all potential costs in plain English, including success fees and ATE insurance
- Tell you the limitation period for your claim (usually three years from the date of injury or diagnosis)
- Explain whether your claim will be funded through a CFA or an alternative arrangement
Do not sign any agreement under pressure. You are entitled to read the CFA and ask questions before committing.
What is the time limit for making a no win no fee claim?
In most personal injury cases, the limitation period is three years from the date of the accident or the date you became aware of the injury. For clinical negligence claims, it is three years from the date of the negligent act or from the date you first connected your injury to that act. For children, the three-year period begins on their 18th birthday.
Missing the limitation deadline almost always means your claim cannot proceed. If you are approaching the three-year point, contact a solicitor immediately rather than waiting.
| Claim type | Limitation period | Success fee cap |
|---|---|---|
| Personal injury | 3 years from injury | 25% of damages |
| Clinical negligence | 3 years from knowledge of harm | 25% of damages |
| Industrial disease | 3 years from diagnosis | 25% of damages |
| Child injury | 3 years from 18th birthday | 25% of damages |
What does no win no fee actually mean in practice?
It means your solicitor does not charge a base fee if your claim fails. However, you may still face the other party's legal costs if you lose, unless you have After the Event insurance. If you win, a success fee of up to 25 per cent of your compensation may be deducted. Always ask for a full written breakdown of every potential cost before agreeing to a CFA.
Do I have to pay anything upfront for a no win no fee claim?
Usually no. Most CFAs are designed so that no money changes hands until the case concludes. Some pre-action costs, such as medical reports, may be paid by the solicitor upfront and recovered later. In rare cases, you may be asked to fund specific disbursements; confirm this in writing before proceeding.
Can I make a no win no fee claim for any type of legal case?
No. CFAs are most commonly used for personal injury, clinical negligence, employment tribunal and some housing disrepair cases. They are not generally available for family law, criminal defence or most commercial disputes. Your solicitor will confirm at the initial consultation whether a CFA is appropriate for your claim.
What is After the Event (ATE) insurance and do I need it?
ATE insurance covers the other party's legal costs if your claim fails. Without it, you could face a significant costs order. Most personal injury solicitors arrange ATE insurance as part of the CFA package, with the premium deferred until the case concludes. If your solicitor does not mention ATE insurance, ask specifically whether you need it.
How long does a no win no fee personal injury claim take?
Simple road traffic accident claims can settle in three to nine months. More complex claims involving disputed liability or significant injuries typically take 12 to 36 months. Clinical negligence cases can take three to five years or more. Your solicitor should give you a realistic timeline at the outset and keep you updated throughout.