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Product Liability and Mass Tort Monitor: June 2026

Law Commission of England and Wales Considers Broadening Consumer Class Actions Regime as Litigation Funders Receive More Scrutiny

The Product Liability and Mass Tort Monitor is a monthly newsletter delivering critical updates, data insights and actionable strategies for navigating the complexities of product liability and mass tort litigation. This month’s issue explores recent developments in the UK group action regime.

  • The Law Commission announced a project to consider introducing a consumer class actions regime in England and Wales, expected to commence in autumn 2026.
  • If introduced, the new regime would expand consumer access to redress beyond current group litigation orders and opt-out collective proceedings.
  • Third-party litigation funders are expected to follow developments closely, though funders face increasing scrutiny from recent high-profile cases.

As explored in the June 2025 Newsletter, group actions in the Courts of England and Wales broadly fall within two categories: (1) opt-in proceedings akin to U.S. mass tort claims, in which claimants proactively sign up to the litigation — known as group litigation orders (GLOs); or (2) opt-out collective proceedings, akin to class actions in the U.S., in which a claim is brought on behalf of a defined class of eligible claimants who are not individually identified.

The Law Commission, an independent statutory body that oversees the law of England and Wales and recommends reforms, announced on April 20, 2026, an upcoming project to consider the introduction of a new consumer class actions regime in England and Wales. The Law Commission said that the project, expected to commence in autumn 2026, “will identify the benefits and risks associated with the introduction of a consumer class actions regime, having regard to other available mechanisms such as public enforcement action and alternative dispute resolution. The project will also make recommendations as to the design of such a regime, were one to be introduced.” The regime would widen the scope of access to redress by consumers beyond the current GLO and opt-out collective proceedings currently in place.

Third-party litigation funders, who were instrumental in driving the current GLO and opt-out regimes, are likely to follow closely the possible widening of consumer actions in the Courts of England and Wales. This will come hand-in-hand with closer scrutiny of those funders, which have faced criticism in recent cases such as Mastercard Inc. and others v. Walter Hugh Merricks CBE (Merricks) [2020] UKSC 51. The case settled in 2025 for £200 million, and the funder challenged a distribution order made following the settlement of those proceedings.

The Law Commission’s project is likely to take around 18 months to three years to produce a report, and any implementation from its findings, which would not be guaranteed, would take several more years to become law. However, the shift to a broader collective action regime in England and Wales is indicative of a trend toward increased access to redress by consumers and shifting attitudes in relation to litigation risk.

For more information on these issues, contact the authors or their colleagues in McGuireWoods’ Product Liability & Mass Tort Practice Group.

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