The Legal Services Consumer Panel has welcomed the Legal Services Board’s (LSB) response to the Public Bodies Review, and its commitment to focus on the greatest risks to consumers.
The Public Bodies Review outlined 10 recommendations, all of which were accepted by the LSB, following its commission, in the wake of regulatory failures reflected by the collapse of major law firms Axiom Ince and SSB Law.
Criticisms that the LSB had “lost its way in recent years” and has “fallen short” of government and parliamentary expectations were voiced within the independent review, with the oversight regulator responding to the recommendations by setting out plans for a “significant” shake-up of operations.
Within its detailed response, it has outlined plans to direct most of its resources towards consumer protection, through stronger and more targeted oversight of frontline regulators and the Office for Legal Complaints.
Tom Hayhoe, chair of the Legal Services Consumer Panel, said: “The Panel welcomes the LSB’s commitment to put consumers at the heart of its work. Stronger oversight of regulators, better complaints handling and faster redress will make a real difference to the people who use legal services.”
Further changes announced, which have been backed by the Consumer Panel, include pledges to take earlier and firmer action where regulators fall short, including stronger oversight of the Solicitors Regulation Authority (SRA) following recent firm failures and driving up standards in complaints handling by supporting the Legal Ombudsman is resolving complaints faster.
An improvement in transparency to enable consumers to make choices right for them was also welcomed by the Panel, as well as plans to build a shared picture of risk across the sector, drawing on data and evidence of consumer experiences.
“People turn to legal services at some of the most important moments in their lives, the LSB Consumer Panel said. “They need to trust the help they get, and to be protected when things go wrong.”
Introduction of a new Enforcement Challenge Panel and the Board Regulatory Oversight Committee offer a “valuable opportunity to build a strong consumer lens into its new approach to oversight”, the Panel noted.
Hayhoe concluded: “Consumer protection is a core regulatory skill, and it is strongest when it runs through everything a regulator does, including oversight. As the statutory voice of consumers, we look forward to working with the LSB to make that a reality.”
