New legislation to usher in ‘major improvements’ to regulation of legal services

New legislation to usher in 'major improvements' to regulation of legal services

A decade of campaigning by the Law Society of Scotland has resulted in new legislation that aims to better protect legal services consumers and benefit Scotland’s legal sector.

Following its final approval by Holyrood yesterday, the Regulation of Legal Services (Scotland) Bill will see the Law Society continue as the independent regulator of Scottish solicitors, while gaining new powers to “act in the public interest”.

These include broad new powers to regulate legal businesses and the ability to investigate complaints against solicitors more quickly. The Law Society will also have increased powers to suspend solicitors from practice.

A new legal offence of pretending to be a lawyer, in line with the existing offence of holding oneself out to be a solicitor, will provide clarity for consumers about those who have the knowledge and skills to provide legal services in Scotland.

David Gordon, lay convener of the Law Society of Scotland’s Regulatory Committee, said: “It has taken a decade of campaigning by the Law Society to reach this point. The legislation delivers long overdue changes that allow us to be a faster and more effective regulator and provides for more robust consumer protections.

“The existing regulatory framework, governed largely by legislation over 40 years old, has quite simply not kept pace with the huge changes in the legal services sector and consumers’ expectations. We have an overly complex system, but one that leaves the Law Society without powers that many other regulators have to take action to protect the public interest when needed.

“The new legislation will provide increased clarity and assurance for consumers. Currently anyone, even those with no legal training or qualifications, could call themselves a lawyer and charge for legal advice. This unrestricted use of the title ‘lawyer’ poses a significant risk to consumers who may not differentiate between a ‘solicitor’ and a ‘lawyer’ and could potentially be misled and, if something goes wrong, may have no proper course to redress.

“Of course there is a huge amount of work ahead, but today marks a major milestone in our journey towards a modern, responsive regulatory system that not only boosts public protections, but enhances the reputation of Scottish solicitors and other professionals working within a well-regulated Scottish legal sector.”

Susan Murray, president of the Law Society of Scotland, said: “This legislative development is progressive, both for the profession and for consumers of legal services. My thanks go to our society colleagues, for their significant work on the bill since its publication early last year.”

“The new legislation will assure a regulatory system that is fit for the 21st century, delivering tangible benefits for our clients and creating new opportunities for our members to thrive. We look forward to working with government colleagues and other stakeholders, to ensure that these significant regulatory changes are successfully implemented.”

Neil Stevenson, chief executive of the Scottish Legal Complaints Commission said: “Since 2016 the SLCC has been calling for improvements to the legal complaints and regulatory system to make it more person-centred and proportionate.

“While we supported proposals for more fundamental reform, we believe these changes are still a significant step forward. We’ve worked with government, MSPs and other stakeholders to make them as strong and effective as possible.

“The SLCC has delivered important improvements in complaint handling within the confines of the existing legislation. We know we could do more to deliver a complaints process that meets the public, the profession and Parliament’s expectations of an efficient and effective system for managing complaints and delivering consumer redress. These reforms give us greater flexibility to achieve that.

“The bill also makes significant changes to other parts of the SLCC’s role. We become the only regulator with an overview of the whole legal services market.

“The role of the independent consumer panel is enhanced, and we will provide registration for unregulated legal services providers who wish to show their commitment to consumer standards.”

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