Legal charities are missing out on funding because the majority of lawyers are unaware of the existence of ‘pro bono costs’ orders, research has suggested.

Where a civil case is won by a lawyer providing free legal representation, under Section 194 of the Legal Services Act 2007 pro bono costs can be awarded by the court or included in settlements.

The costs are paid by the losing party to the Access to Justice Foundation, which distributes the funds to legal charities.

But an online survey of barristers, solicitors and legal executives revealed that 72% did not know that they could obtain pro bono costs on winning a civil case.

Of the 312 respondents, 86% did not know such costs could be included in a settlement and 88% were unaware of how to obtain pro bono costs in a case.

Former attorney general Lord Goldsmith QC, who chairs the Foundation, said that the sums from the scheme have increased, with one case producing £41,000 costs, but that it has not yet reached its full potential.

‘If lawyers don’t know about pro bono costs, they can’t obtain them – and too many lawyers still don’t know about them,’ he said.

Goldsmith said that is not just lawyers acting for free who need to be aware of pro bono costs, but all lawyers who may be faced with an opponent acting pro bono, as their client may face the risk of adverse costs if they lose.

Previously a party losing to a pro bono litigant avoided paying legal costs.

Lord Goldsmith said: ‘Pro bono costs have an important role in helping level the playing field, as now both sides have a costs risk to consider, thereby assisting settlement.’

The Master of the Rolls Lord Neuberger said: ‘It is very important that everyone is aware, whether judge or advocate, that costs can now be awarded when lawyers act pro bono.

‘It is surprising speaking to judges how many are unaware of this important development. Without this money the Foundation can support less pro bono work, and every penny counts.’