Fees of £1200 for bringing an unfair dismissal claim will be introduced next summer, the government has announced. This is a significant change from the current system where bringing a claim is free of charge.

Under the plans, claims for unpaid wages, holiday pay and redundancy would be labelled ‘level one’ and pay an issue fee of £160 and a hearing fee of £230. ‘Level two’ claims, including unfair dismissal and of discrimination would pay an issue fee of £250 and £950, totalling £1200.

An alternative proposal, providing for a single fee at issue, with a higher fee for claims of over £30,000, was rejected by ministers.

BIS officials said in the response that tribunals would have the power to order the unsuccessful party to reimburse the fee to the successful party. There would be an issue fee of £400 and hearing fee of £1200 for appeals to the EAT.

BIS said the existing fee remission scheme for civil court users would be applied to employment claims.

Attribution Solicitors Journal