FOR IMMEDIATE RELEASE
Wednesday, 02 March 2016
LSB consults on updating complaints handling requirements for regulators
The Legal Services Board (LSB) launches today a consultation on proposed changes to its first-tier complaints handling requirements for regulators.
Complaints made through a lawyers' in-house complaints handling procedure are known as first-tier complaints. This is the first step consumers must take if they wish to complain about the service they have received from their lawyer.
This consultation proposes amending the existing requirements for regulators to improve the outcomes for consumers in this area.
The proposed updates are to the Legal Services Act 2007 section 112 requirements for regulators, the outcomes that regulators need to achieve for consumers and the guidance issued to regulators on how to achieve those outcomes.
Neil Buckley, Chief Executive of the Legal Services Board said:
"Improving complaints handling was one of the LSB's three main priorities at its inception. However, evidence collected since 2010 suggests that, while the outcomes specified by the LSB in this area are still relevant and uncontentious, they have not yet been fully achieved; further action is needed.
Through this consultation, the LSB wants to understand if it can help regulators better support lawyers in meeting their regulatory duties for first-tier complaints handling to improve outcomes for consumers.
I would encourage anyone with an interest to respond to this consultation."
ENDS
For further information, please contact the LSB's Communications Manager, Vincent McGovern (020 7271 0068).
Notes for editors:
- The consultation document First-tier complaints handling: LSB requirements for approved regulators can be found here.
- Complaints made through a lawyers' in-house complaints handling procedure are known as first-tier complaints.
- Subsequent complaints made to the Legal Ombudsman are second-tier complaints.
- In May 2010, the Legal Services Board (LSB) published requirements for approved regulators: First-tier complaints handling. This set out that approved regulators (ARs) must require all individuals and entities that they regulate to notify clients in writing of their right:
- to make a complaint, including how, to whom and within which timeframes
- to complain to the Legal Ombudsman at the conclusion of that complaint process if unsatisfied with the outcome.
- As well as the requirements, this document indicates outcomes for complaints handling, which the LSB expects approved regulators to achieve, as well as guidance to support their delivery of those outcomes.
- The closing date for the consultation is 27 April 2016.
- The Legal Services Act 2007 (the Act) created the LSB as a new regulator with responsibility for overseeing the regulation of legal services in England and Wales. The new regulatory regime became active on 1 January 2010.
- The LSB oversees nine approved regulators, which in turn regulate individual legal practitioners. The approved regulators, designated under Part 1 of Schedule 4 of the 2007 Act, are the Law Society, the Bar Council, the Master of the Faculties, the Chartered Institute of Legal Executives, the Council for Licensed Conveyancers, the Chartered Institute of Patent Attorneys, the Institute of Trade Mark Attorneys, the Association of Costs Lawyers and the Institute of Chartered Accountants in England and Wales.
In addition, the Institute of Chartered Accountants of Scotland and the Association of Chartered Certified Accountants are listed as approved regulators in relation only to reserved probate activities.
- As at 1 April 2015, the legal profession comprised 142,109 solicitors, 326 alternative business structures, 15,237 barristers, 7,848 chartered legal executives and 5,678 other individuals operating in other areas of the legal profession such as conveyancing. The sector is valued at £32 billion per annum (2015) which is up 23% in cash terms since 2012. For more information see here.