The Prime Minister this week said he will introduce a raft of measures to stamp out a UK compensation culture that is doing "serious damage to our country".
Speaking at the Institute of Public Policy Research, Tony Blair said: "We are in danger of having a wholly disproportionate attitude to the risks we should expect to run as a normal part of life."
The Compensation Bill will introduce statutory regulation of claims management companies and clarify the common law on negligence to make sure that there is no liability for incidents that could not be avoided by taking reasonable care.
Blair said: "Many claims farmers indulge in high-pressure selling and aggressive marketing, including approaching vulnerable people in public places.
"The new Compensation Bill will limit the work of claims management companies or 'claims farmers.'"
The Prime Minister also promised to steer through the Better Regulation Bill and use the UK's presidency of the EU to cut the red tape facing businesses by encouraging a more risk-based approach to regulation.
Blair said: "Government cannot eliminate all risk. But too often our reflex as a society is to regulate and to introduce new rules.
"We will start to roll back the tide of regulation in specific cases: here, in Europe in respect of the regulatory bodies themselves. [We will] replace the compensation culture with a common sense culture."
