Law Society of Scotland President Patricia Thom said: “This is a pivotal time and agreement on the increase to the practising certificate fee for 2025-26 is important to ensure the Law Society can carry out all of its functions in addition to securing its long-term financial sustainability.

“It ensures we can continue to be an effective voice for solicitors on important issues such as criminal justice reform, legal aid and access to justice, in addition to carrying out our statutory role as a regulator to protect the public and safeguard the reputation of our profession. This will be a key focus for the society as we work towards implementing new responsibilities following the Regulation of Legal Services (Scotland) Bill being passed by MSPs last month.

“We will continue to invest in providing tailored support and services that offer value to our members, such as advice from our professional practice helpline, facilitating professional indemnity insurance for every Scottish solicitor through the Master Policy, in addition to career and wellbeing support which has been identified as a growing priority by our members.”

Proposed changes to the society’s Practice Rules and Guidance were also brought before the meeting for consideration by members.

The proposed new rules will require law firms to maintain a central record of trusts where the firm or solicitors at the firm are involved as trustees in their professional capacity. They will also place new obligations on firms which take custody of another law firm’s clients’ assets, including trusts, to identify the owners as soon as practicable, as well as assess any action required to protect clients’ best interests and ensure they safeguard these assets in the same way as for their own clients.

Proposed changes to the society’s Rules in relation to anti money laundering (AML) will allow a more flexible approach to firm reinspection charging and will also replicate a provision from the society’s accounts rules regarding a solicitor’s duty not to act dishonestly, within the AML rules. It is also proposed that a rule on incidental financial business (IFB), is amended to reflect a more proportionate annual IFB Certificate requirement.

David Gordon, convener of the Law Society’s Regulatory Committee, said: “It’s important that the society’s members have the opportunity to discuss the proposals before they go to the Lord President for his approval.

“The changes will enhance consumer protections for people who have set up trusts with solicitors as well as providing welcome clarity for both our members and for clients in cases where a firm takes custody of another firm’s assets. The proposals also mean there would be no unnecessary barriers to law firms taking custody of client files in the unfortunate event of another legal firm ceasing. Safeguarding client files and assets and ensuring an orderly transfer remain the highest priority in such cases.

“The updates to AML and IFB rules reflect the society’s work in ensuring it has a robust but proportionate regulatory regime.”