In a significant move towards justice reform, wrongly convicted individuals will no longer have “saved living costs” deducted from their compensation payments, as announced in an update to guidance on Sunday, August 6.

This change was initiated by Lord Chancellor Alex Chalk to ensure greater fairness in the miscarriage of justice compensation process. The element of deducting “saved living expenses” was introduced in 2006 and has been a point of contention for many victims of wrongful convictions.

The new decision will apply immediately to all future payments made under the miscarriage of justice compensation scheme. Lord Chancellor Alex Chalk emphasized that fairness is a fundamental principle of the justice system, and it is unjust for victims of devastating miscarriages of justice to face deductions for expenses they did not incur.

The miscarriage of justice compensation scheme aims to support individuals in restarting and rebuilding their lives after experiencing wrongful convictions. It is one of the avenues through which individuals can receive compensation, with other options including suing public bodies.

To be eligible for compensation under the scheme, individuals must meet certain criteria, including applying within two years of being pardoned or having their conviction reversed based on new evidence that proves their innocence beyond reasonable doubt.

Once eligible, an independent assessor determines the level of compensation based on various factors, such as the impact of the wrongful conviction on the individual’s life, loss of past or future earnings, and legal costs resulting from their time in custody.

Under the previous guidance, deductions could be made from the compensation for loss of past earnings based on “saved living expenses,” such as rent or mortgage payments, that were not incurred during their time in prison.

The maximum amount of compensation payable under the miscarriage of justice system is £1 million for individuals imprisoned for ten or more years and £500,000 for those imprisoned for up to ten years.

This change in the guidance represents a step forward in ensuring that those wrongfully convicted receive the compensation they rightfully deserve, without facing further financial burdens for expenses they did not bear during their unjust incarceration.