asked Her Majesty's Government:

Whether they plan to prohibit the trafficking of personal injury and industrial disease claims between solicitors and third parties. [HL839]

The Government do not wish to see the trafficking of any personal injury claims. The Compensation Act 2006 provides a robust statutory framework for the regulation of claims management services, including claims made for personal injury handled by previously unregulated third-party claims companies. Such companies will now need to be authorised and required to follow strict rules of conduct including how claims are obtained and referred to solicitors. Effective regulation of all aspects of claims handling is vital to ensure proper safeguards for consumers and the department is working closely with the Law Society, Financial Services Authority and other regulators to achieve this.