Legal disputes over small amounts of money are to be made easier under changes announced yesterday by the Scottish Government.

Legal disputes over small amounts of money are to be made easier under changes announced yesterday by the Scottish Government.

The limit for legal wrangles over goods, house repairs, holidays or bank charges to be settled through the small claims system is being raised four-fold, so that more of them can be heard without having to hire a lawyer.

Since 1988, the upper threshold for a small claim has been set at £750. Justice Secretary Kenny MacAskill announced yesterday that it will be raised to £3000 from January, while there will also be increases for other types of civil action.

Personal injury claims are to be removed from the small claims procedure, meaning all such claimants will require medical evidence and legal representation.

The raised threshold was welcomed by the opposition and consumer groups. They have long argued that there should be the easiest possible method for a broader range of such disputes to be handled in the relatively simple, quick and easy procedures, without having to take a risk on paying a lawyer and going to open court. However, there was disappointment that the threshold has not been raised further.

Mr MacAskill said: "Hard-working Scots who have perfectly valid claims are being denied accessible justice due to the existence of an artificially low small claims limit. It is now 19 years since the limits were last increased and I believe the time has now come to set more realistic limits.

"These new limits will mean that many more people will be able to make use of the less complicated small claims system within the sheriff court to resolve such claims. People who in the past were prevented from pursuing a claim against a business or individual will now be able to do so without having to employ a lawyer with all the extra expense that entails."

The limit for action to be raised in the sheriff court instead of the Court of Session has been raised from £1500 to £5000. Above that level, disputes can go into the higher court.

The move was welcomed by the Scottish Consumer Council. Martyn Evans, its director, said: said: "We are delighted the Scottish Government has taken this decisive step to increase access to justice for people who buy goods and services. Every day people in Scotland buy computers, holidays, three-piece suites and other items that cost much more than £750. Now they will be able to seek legal redress against businesses which do not comply with the law, without having to face the choice of suing for less money than they are owed or paying a solicitor to go to court."

Julia Clarke, of the consumer lobby group Which?, said: "People will be able to claim for more of their cases of dodgy holidays or badly-built kitchens. This tackles the cowboys who move on after a botched job with no redress against them."

She said the English legal move, in recently raising the threshold for small claims from £750 to £5000, would have been preferable. The difference until now has meant some Scots taking their cases south of the border, using the law that lets individuals claim against companies in that firm's home town.

Opposition support for Mr MacAskill's announcement included Liberal Democrat Mike Pringle, who had been campaigning for nearly four years for the raised threshold. He also said it should be raised further to the level set in England of £5000.

Labour justice spokeswoman Margaret Curran said: "Labour welcomes the limit increase for small claims. The justice system must be accessible to everyone in society".