DR v ES: Further LSPOs, Historic Costs and the Court’s Focus on Equality of Arms

The Family Court’s decision in DR v ES and Ors (Further LSPO Application) [2026] EWFC 15 is a useful reminder that Legal Services Payment Orders are not simply about funding litigation in the abstract. They are about ensuring that a party can participate effectively and fairly in financial remedy proceedings.
The case concerned the wife’s further application for a Legal Services Payment Order in long-running financial remedy proceedings. Family Law Week summarised the application as one made by the wife for a further LSPO in the context of protracted financial remedy litigation.
Background
The parties married in August 2008 and separated in early 2021. Financial remedy proceedings followed, with the First Appointment taking place in September 2021. By the time of this application, the litigation had already generated two previous reported judgments and three previous LSPOs in the wife’s favour.
The financial landscape was substantial. The net assets were recorded at approximately £18 million, largely held through two property-owning companies. The husband’s interest in one company, Y Ltd, had been determined to be 100% and valued at approximately £6.67 million, while his one-third share in X Ltd was valued at approximately £14.34 million.
The wife sought a further LSPO of £726,246.46. That sum included outstanding historic costs and future costs to take the matter through to final hearing. A key issue was that the wife had exceeded the budget set by an earlier LSPO order. The husband argued that the previous order should have been treated as a limit, and that revisiting the overspend risked turning the LSPO application into a disguised inter partes costs exercise.
The Court’s Approach
The court accepted that an LSPO is not a blank cheque. Where a costs budget has been set, parties and their advisers are expected to take it seriously. The fact that litigation has become difficult, expensive or acrimonious does not automatically justify unlimited further funding.
However, the court also recognised the practical reality of the case. The wife’s solicitors had provided evidence that they would not continue to act if outstanding bills remained unpaid. That mattered because, without representation, the wife would have been placed at a serious disadvantage in complex proceedings where the husband remained able to fund his own legal team.
The court therefore made a further LSPO, but not for the full amount sought. The total order was £560,120. Stewarts’ summary records that this comprised £154,570 for costs already incurred and £405,550 for future costs to the final hearing. Financial Remedies Journal breaks down part of the historic element further, noting that £107,250 was awarded in respect of historic costs as at 5 January 2026, with the remainder covering costs from that date through to the final hearing.
Why the Decision Matters
The judgment is important because it shows the court balancing two competing principles.
First, budget discipline matters. A party who has obtained an LSPO cannot assume that any overspend will be retrospectively approved. The court expressly recognised that an LSPO is not permission to incur costs beyond the scope of the order.
Second, fairness of process matters too. If unpaid historic costs mean that a financially weaker party’s solicitors will cease acting, the court may include some historic costs within a further LSPO. This is particularly so where the other party remains able to fund representation and where the litigation history has contributed to the costs burden.
That distinction is crucial. The court was not simply reimbursing overspend. It was asking whether, without payment, the wife would be unable to continue obtaining appropriate legal services. The answer, on the evidence, was yes.
Practical Lessons for LSPO Applications
For applicants, the case underlines the importance of evidence. A further LSPO application should not rely on broad assertions that funding is needed. It should explain what has been spent, why it was spent, what remains to be done, what future costs are anticipated, and what will happen if funding is refused.
Evidence from solicitors can be decisive. In this case, the court was influenced by the indication that the wife’s solicitors would not continue acting on credit. That evidence helped connect the unpaid costs to the wife’s future ability to participate in the proceedings.
For respondents, the case is a warning that arguments about budget discipline may not be enough if they ignore the wider litigation reality. A respondent who can fund their own legal team, or raise funds against assets, may struggle to resist an LSPO where refusal would leave the other party under-represented.
The payment mechanism is also notable. The court required funds raised by the husband to be applied in descending priority: first to security for maintenance pending suit, then to LSPO provision, and only then to the husband’s own legal costs. The order also restricted the husband from paying his own advisers in greater amounts or sooner than he discharged the LSPO liability.
Conclusion
DR v ES is not authority for the proposition that every LSPO overspend will be rescued by the court. It is a more careful and practical decision than that.
The message is that court-approved budgets remain important, but they will not be applied so rigidly that they defeat the underlying purpose of an LSPO: enabling fair participation in financial remedy proceedings. Where historic unpaid costs create a real risk that a party will lose representation, and where the other party remains financially able to litigate, the court may intervene to preserve equality of arms.
For practitioners, the lesson is clear: prepare LSPO evidence carefully, budget realistically, explain any overspend promptly, and focus the application on the practical question the court must answer — whether the applicant can continue to obtain appropriate legal services without the order.
For family law advice and family court representation contact Stephanie Heijdra public access family barrister via sheijdra[@}winvolvedlegal.co.uk
Read the full judgment here






