The Solicitors Regulation Authority will profile law firms to help identify those at risk of collapse, chief executive Sarah Rapson (pictured) has said.
Speaking to the Law Society Gazette this week, Rapson said the SRA will prioritise proactive action and “getting ahead of the risks” in the wake of high-profile failures at Axiom Ince, SSB Law and PM Law.
‘We are quite reactive in using enforcement and investigations as regulatory tools, but there are other ways,” Rapson told the Gazette.
“If you wait until you are investigating or enforcing you are probably too late.
“The organisation has historically been enforcement-led and investigation-led and if that is your big focus that is late and after-the-event. What people want to see is a more pro-active regulator looking for indicators of potential harm earlier.”
The SRA plans to give is teams access to a single profile page, including the size of the firm and its specialisms, complaints data and financial information from Companies House. Staff will also be trained on best practice to support vulnerable consumers.
The organisation has been “stretched too thin,” Rapson admitted, and has re-evaluated its priorities after recent tribunal losses.
Commenting on the announcement of her appointment in June, Rapson said the public “rightly expects legal professionals to uphold the highest standards of integrity and competence”.
