What Does No Win, No Fee Mean

“No win, no fee” sounds simple: if the claim does not succeed, you do not pay your representative’s normal fee.

That basic idea can make legal help accessible to people who could not afford to pay solicitors by the hour. But it is a description used for different funding arrangements, not a promise that there is never any possible cost.

Before signing, the useful question is not only “What happens if I win?” It is also “In exactly what circumstances could I have to pay anything?”

What agreement am I actually signing?

The term can cover more than one type of arrangement.

A Conditional Fee Agreement, or CFA, makes some or all of the solicitor’s fees conditional on success. A Damages-Based Agreement, or DBA, calculates the representative’s payment by reference to an agreed percentage of the money recovered when the defined success criteria are met.

The label on an advert matters less than the written agreement you actually enter into.

What might be deducted if I win?

Depending on the agreement and type of claim, deductions can include a success fee, an agreed percentage payment, insurance premium or other permitted costs.

In personal-injury CFAs, the success fee is subject to a statutory cap of 25% of certain damages, excluding damages for future care and loss. That does not mean every solicitor must charge 25%, nor does it mean every possible deduction in every funding model is covered by that single percentage.

Ask for a worked example showing what you would receive after deductions if the claim settled at a realistic figure.

What happens if I lose?

Under a genuine no-win-no-fee arrangement you would not normally pay the solicitor’s conditional fee when the claim fails, but other financial risks can exist.

Disbursements can include expert fees, court fees and other costs paid to progress the case. There can also be circumstances in litigation where another party’s costs become relevant.

After-the-event insurance is sometimes used to protect against particular risks. Ask what insurance is proposed, what it covers, whether a premium is payable and what exclusions apply.

What if I decide I no longer want to continue?

This is different from losing the case.

A funding agreement can contain terms about what happens if you end the retainer, fail to cooperate or reject advice. The SRA warns that clients who stop after a cooling-off period may potentially face charges for work already done or disbursements, depending on the agreement.

Read the termination section before signing, not when you are already unhappy.

Questions worth asking before you agree

Ask:

• Is this a CFA, DBA or another arrangement?• What exactly counts as a “win”?• What could be deducted from my compensation?• Is VAT included in the percentage quoted?• Who pays expert and court fees?• Is after-the-event insurance being arranged?• Could I ever have to pay the other side’s costs?• What happens if I cancel?• What happens if you advise me to stop?• Can you show me the likely deductions using an example?

Clear answers are part of making an informed decision.

No win, no fee is neither automatically good nor automatically bad

These arrangements have enabled many people to enforce legal rights without paying substantial fees upfront.

The problem is not the funding model itself. The problem is signing something you do not understand, or being given marketing language that hides the actual financial consequences.

Take enough time to understand the agreement. If the claim can be made through a free official route, establish that before deciding whether paid representation adds value.

Last reviewed

5 September 2026

Important informationThis guide provides general information and is not intended to provide legal, financial, medical or other professional advice. Individual circumstances can be different. You may wish to check current information from official sources and seek advice from an appropriately qualified professional before making important decisions.