30 May 2026

Military hearing loss no win no fee: how the CFA works for veterans

TL;DR

Military hearing loss no win no fee means you pay nothing upfront and nothing if the claim fails. The solicitor's fee is deducted from damages only on a successful outcome.
The success fee is capped at 25% of general damages and past special damages. Future losses, including hearing aids, lost earnings, and pension losses, are paid to you in full and are outside the cap.
After-the-event (ATE) insurance covers the MoD's costs if the claim fails, removing the risk of an adverse costs order against you.
The Matrix Agreement registration deadline is 31 July 2026. A no fee arrangement can be in place within days of your initial enquiry.

The cost of litigation is one of the most common reasons veterans do not pursue a valid military hearing loss claim. No win no fee funding removes that barrier entirely. You do not need savings, legal expenses insurance, or a trade union scheme to access specialist representation. The Conditional Fee Agreement structure used by specialist military NIHL solicitors is regulated by statute and carries specific consumer protections that apply to every claim.

This page explains how military hearing loss no win no fee funding works, what the success fee cap means in practice, and how after-the-event insurance protects you if the claim does not succeed. The claims process page covers the broader timeline from instruction through to settlement.

What does military hearing loss no win no fee mean?

Military hearing loss no win no fee means your solicitor takes your claim under a Conditional Fee Agreement. If the claim does not succeed, you pay your solicitor nothing for the legal work done on your behalf. If it succeeds, the solicitor's fee (including a success fee reflecting the risk they have taken on) is deducted from your damages, subject to a statutory cap. You have no financial exposure before the outcome is known, and no upfront payment is required at any stage.

The no fee model is the standard arrangement for military hearing loss claims because the MoD defends these claims robustly and because the legal and medical work required to bring a claim (service records, audiological assessments, expert reports) involves real costs that most veterans cannot fund privately. The CFA structure allows access to specialist representation that would otherwise be out of reach.

What is a Conditional Fee Agreement?

A Conditional Fee Agreement is the formal legal instrument that governs the no win no fee arrangement. It is a written contract between you and your solicitor that sets out what happens to fees depending on the outcome. If the claim fails, the solicitor's base fee is waived. If the claim succeeds, the solicitor charges their base fee plus a success fee. The success fee reflects the risk the solicitor accepted by deferring payment throughout the life of the claim.

The CFA must be signed before work begins. It must clearly state the success fee percentage, the cap that applies, and how future losses are treated. A reputable firm explains every term before you sign and allows you time to ask questions. Since the Abbott and Others v Ministry of Defence judgment in April 2026, specialist knowledge of the rM-NIHL diagnostic methodology has become essential. As PDA Law explains, the method accepted in Abbott changes how audiological evidence is obtained and assessed. A solicitor working under a CFA needs to instruct audiologists using the correct method or the evidence may undervalue the claim.

What is the 25% success fee cap?

The 25% success fee cap is set by section 58 of the Courts and Legal Services Act 1990. It limits the success fee to 25% of general damages and past special damages. General damages are the amount awarded for pain, suffering, and loss of amenity: that is, compensation for the hearing loss and tinnitus themselves. Past special damages are financial losses already incurred before settlement, such as private hearing aid costs or tinnitus therapy already received.

Future losses are outside the cap entirely. Awards for future hearing aid costs, future loss of earnings, or pension losses from shortened service are paid to you in full. The solicitor's success fee cannot touch them.

In practice the cap has the largest proportional effect on smaller claims with limited special damages, and the smallest effect on claims with substantial future losses. A veteran recovering £20,000 in general damages and £80,000 in future pension and earnings losses pays the success fee only on the £20,000 general damages element. The £80,000 future losses are paid in full regardless of the success fee percentage.

Does the no win no fee arrangement cover all costs?

The no fee arrangement covers your solicitor's fees for the legal work they carry out on your behalf. Disbursements (expenses paid to third parties) are handled separately and are the main area where arrangements vary between firms. The main disbursements in a military hearing loss claim are: the independent audiological assessment, the cost of obtaining service records from the relevant records office, and court fees if the claim is formally issued.

Most specialist firms fund disbursements through a disbursements loan or from the firm's own resources, with repayment from damages on success. If the claim fails, disbursements are either covered by the ATE insurance policy or written off by the firm. You should confirm at the initial assessment which approach the firm uses and what your position is if the claim fails. There are no upfront payments for any part of a properly structured no fee arrangement. If a firm asks you for money before your claim has succeeded, that is a concern that should be raised directly or treated as a reason to look elsewhere.

After-the-event insurance in a military claim

After-the-event insurance is a policy taken out after the claim arises but before it proceeds to formal litigation. Its function is to cover the MoD's legal costs if your claim fails. In civil litigation the general rule is that the losing party pays the winner's costs. For veterans bringing military hearing loss claims against the MoD, that exposure could otherwise be significant.

ATE insurance removes that risk. If your claim fails, the ATE policy pays the MoD's costs on your behalf and you pay nothing. ATE insurance is arranged by your solicitor alongside the CFA and does not require any upfront payment from you. The premium is typically deferred and, if the claim succeeds, is recovered from the MoD as part of the costs order or paid from damages. If the claim fails, the premium is waived under the policy terms used by most specialist firms. You should confirm at the initial assessment that ATE insurance is included in the arrangement and obtain written confirmation of the terms before the claim progresses. A firm that does not arrange ATE insurance for a military hearing loss claim leaves you exposed to costs risk that the standard arrangement eliminates.

No fee funding from instruction to settlement

The no fee arrangement operates across the full claim lifecycle from the point of instruction through to settlement or judgment. At instruction you sign the CFA and ATE policy documents. Your solicitor then requests your service records from the relevant records office and refers you to an independent audiologist for a hearing assessment. Both are handled by the firm and do not require you to fund them at the outset.

Once service records and the audiological report are obtained, your solicitor assesses the claim on the basis of that evidence. If the claim is registered within the Matrix Agreement scheme before the 31 July 2026 deadline, the MoD's duty of care and limitation arguments are conceded. The claim then focuses on causation and quantum: the extent of hearing damage attributable to service and its value under the Judicial College Guidelines. The eligibility page explains the scheme requirements in detail.

The large majority of military hearing loss claims settle before any court hearing. Once a settlement is agreed, the success fee and any deferred disbursements are deducted from the settlement sum and the balance is paid to you. If the claim proceeds to judgment in your favour, costs are assessed by the court and the MoD pays a proportion of your solicitor's fees directly, reducing the deduction from your damages.

Can you switch solicitors if you are unhappy?

Yes. You can change your solicitor at any stage of a military hearing loss claim. If you are dissatisfied with the service you are receiving, you have the right to instruct a different firm. Your original solicitor has a lien over your file until any outstanding costs are addressed, and those costs may need to be agreed before the file transfers. In practice, specialist firms moving files from other solicitors have experience managing this transition.

The more important consideration is choosing a specialist from the outset. A solicitor who understands the rM-NIHL methodology, the Matrix Agreement structure, and the limitation rules under the Limitation Act 1980 is less likely to create a situation requiring you to switch. The FAQ page covers what to look for when choosing a solicitor and questions to ask before you sign a CFA.

Starting your claim under a no fee agreement

A free eligibility assessment is available online or by telephone. It costs nothing, commits you to nothing, and takes around 15 minutes. A specialist reviews your service history, the noise you were exposed to, and your current hearing difficulties. If the claim has merit, you receive a full explanation of the CFA terms, the success fee, the ATE insurance arrangement, and next steps before anything is signed.

The Matrix Agreement registration deadline of 31 July 2026 means time is limited for veterans wanting to access the scheme's full benefits. Registration is handled by the solicitor from the point of instruction. A no fee arrangement can be in place within days of your initial enquiry, and you are under no obligation to proceed until you have reviewed and understood the CFA.

This page provides general information about no win no fee funding for military hearing loss claims. It is not legal advice. Speak to a solicitor regulated by the Solicitors Regulation Authority before making any decision about your claim.