Theo Huckle QC calculates future loss of earnings under Ogden 6
The Ogden Tables (6th Edition) —used to calculate future loss of earnings—included a methodology for computing future loss of earnings or earning capacity based upon the gross multiplier for the remainder of the claimant’s working life. They also apply reduction factors to that multiplier which vary according to:
- whether the claimant had and now has a “disability”;
- whether the claimant was and now is in employment; and
- the educational attainments of the claimant.
There is no doubt the computation suggests that the future earning capacity of persons with disabilities is more restricted than has historically been assumed.
Unsurprisingly, judges have concerns in applying the Ogden methodology as to possible overcompensation. Defendants habitually contend a case is not appropriate for the application of that method, urging the court to consider the case one of “too many variables” as in the Blamire line of cases— and thus apply the (cheaper) Smith v Manchester basis of award.
Generally, the courts have shown themselves prepared to adopt what some judges call the “now conventional” Ogden
