Structured Settlement Calculator

Compare lump sum vs periodic payments (Periodical Payment Orders) for personal injury compensation. Uses the current discount rate of -0.25% for UK structured settlements 2026.

Structured Settlement Calculator

Estimated Compensation

General Damages-
Range-
Special Damages-
Total Estimated Compensation-
MB
Mustafa Bilgic Reviewed by James Mitchell, ACCA — Updated April 2026
Structured SettlementPPO2026

Compensation Bands

Type / SeverityMinMax
Discount Rate (current)-0.25%Set by Lord Chancellor
ASHE 6115 Growth~4%/yearCare worker earnings
RPI~3.5%/yearRetail Prices Index

Key Facts

Discount Rate
-0.25%
PPO Indexation
ASHE 6115
Review Period
Variable

How to Use This Calculator

1

Enter lump sum offer

Input the lump sum amount offered in your compensation settlement.

2

Enter periodic payment offer

Input the annual periodic payment (PPO) amount offered.

3

Set duration

Enter the expected number of years you would receive periodic payments.

4

Set inflation assumption

Enter the expected inflation rate to project future periodic payment values.

5

Compare options

Review the total value of each option over the payment period.

Frequently Asked Questions

What is a structured settlement?
A structured settlement provides compensation as periodic payments (usually annual) instead of a single lump sum. In England and Wales, this is done through a Periodical Payment Order (PPO) under the Damages Act 1996.
What is the discount rate?
The discount rate (currently -0.25%) is used to calculate lump sum awards. It reflects the expected real rate of return on investment. A negative rate means lump sums are higher because investment returns are expected to be lower than inflation.
What is ASHE 6115 indexation?
Annual Survey of Hours and Earnings (ASHE) 6115 tracks care worker earnings. PPOs for care costs are typically indexed to ASHE 6115, which has historically grown faster than RPI/CPI.
Can I change from PPO to lump sum?
Once a PPO is ordered, it generally cannot be converted to a lump sum. The decision between lump sum and PPO should be made carefully with legal and financial advice.
Who pays the periodic payments?
The defendant (usually their insurer) makes the periodic payments. If the insurer becomes insolvent, the Financial Services Compensation Scheme provides protection.
What happens if my needs change?
PPOs can include a provision for review if certain specified triggers occur (e.g., a significant change in the claimant's condition). Without a review provision, the payments continue as ordered.

Official Sources & References

Data verified against official UK government and judicial sources. Last checked April 2026.