The Legal Services Board found little evidence on the costs of legal sector regulation, so in late 2014 it surveyed the regulated community and in 2015 it commissioned a study of the incremental costs of regulation – those incurred to comply with legal regulation.

 

Categories of regulatory cost in the studies include:

  • Requirements to have separate client accounts
  • Information requests from the regulator (including applying for practising certificates).
  • Consumer information disclosure
  • Ongoing supervision activity by the regulator
  • File retention
  • Keeping up to date with changes to regulations
  • Professional development training course fees
  • Professional indemnity insurance

Legal Services Board. “The regulated communities’ views on the cost of regulation”. March 2015.

Legal Services Board. “In-depth investigation into the costs of regulation in the market for legal services.” 15 September 2015. Available from the LSB website, accessed 19 October 2015.

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