Prince Harry and Elton John Ordered to Pay £9.54 Million Interim Costs After Failed Privacy Case

Judge finds claimants’ conduct “unreasonable to a high degree” as insurance cover falls far short of the Daily Mail publisher’s £34.5 million bill

LONDON — Prince Harry, the singer Elton John and five other high-profile claimants face paying millions of pounds from their own funds towards the legal costs of the Daily Mail’s publisher, after a judge ruled that their unsuccessful privacy litigation had been conducted in an unreasonable manner.

In a costs judgment published on Friday, Judge Matthew Nicklin ordered the claimants to make an interim payment of £9.54 million to Associated Newspapers by August 28.

In a further blow, the judge directed that additional costs be paid on an “indemnity basis” — a designation that relieves Associated of the requirement to demonstrate that its expenditure was reasonable and proportionate.

The total sum ultimately owed was not disclosed on Friday. Should the parties fail to reach agreement, Associated’s costs will be determined in separate assessment proceedings.

A comprehensive defeat

Last month, following an 11-week trial, Nicklin comprehensively dismissed the case brought by King Charles’s younger son, John and the other claimants, rejecting allegations that the Mail titles had engaged in widespread unlawful conduct including phone hacking.

The judge held that the claimants were required to prove the information published about them had been unlawfully obtained, and had failed to do so. Suspicion alone, he said, was insufficient.

Explaining his costs decision, Nicklin was sharply critical of how the case had been advanced, noting that grave allegations had rested on “speculative and inferential” foundations and had not been withdrawn once they ceased to be pursued. The cumulative effect, he concluded, placed the case well outside the norm, describing the conduct as unreasonable to a high degree.

A spokesman for Associated Newspapers hailed the outcome as another overwhelming victory for the Mail and its journalism. Harry’s spokesperson offered no comment. In July, the prince had characterised the dismissal of the lawsuit as a complete and obvious whitewash.

Insurance cover falls short

The court heard in July that Associated had run up legal costs of £34.5 million ($45.8 million), while the claimants held an insurance policy covering only £16 million.

Antony White, counsel for Associated, argued that the claimants had advanced sweeping and “egregious” allegations unsupported by evidence, inflating costs. He also contended that Harry’s public statement following the ruling amounted to an abuse of his position and celebrity.

Nicholas Bacon, representing the claimants, described Associated’s bill as “eye-watering” and far in excess of the agreed budget.

Ruling lands as Harry prepares to return to Britain

The judgment follows the unexpected announcement days earlier that Harry, who stepped back from official royal duties in 2020, will relocate from California to Britain with his wife Meghan and their two children.

The prince, 41, has long held the press responsible for the 1997 Paris car crash that killed his mother, Princess Diana, and has drawn parallels between her treatment and that of his American wife. Giving evidence in January, he held back tears as he told the court the Daily Mail had made Meghan’s life an absolute misery.

Harry had previously succeeded in a claim against the publisher of the Daily Mirror and settled with Rupert Murdoch’s British newspaper arm. The latest decision represents a substantial setback in his long-running campaign against the media.

No decision has yet been taken on whether the claimants will appeal.