SRA announces proposed rise in solicitors contributions to the Compensation Fund
The Solicitors Regulation Authority (SRA) has today published a consultation on its 2024-2025 business plan and budget, which includes a proposed rise in contributions to the Compensation Fund.
Law Society of England and Wales chief executive officer Ian Jeffery said: “The Compensation Fund provides crucial protection and reassurance to consumers in contrast to the lack of protections offered by unregulated providers.
“Professions can only succeed if they uphold core values, such as integrity, reliability and accountability. On the rare occasions when our professional colleagues fail to uphold these values, our collective responsibility means that public faith is maintained.
“It is unfortunate that there have been such significant failings that we now face substantial increases in the individual and firm contributions to the Compensation Fund. It underlines the need for greater vigilance and probity on the part of our members and a focus on effectiveness by regulators.
“Ultimately, we accept that the role of solicitors is to protect the interests of their clients, and that we must do that, even when the costs are high, because the costs of not doing so would inevitably be higher.”
Notes to editors
The proposed individual contribution to the Fund will rise from £30 in 2023-2024 to £90 in 2024-2025. For firms, proposed contributions will rise from £660 to £2,220.
These costs are historically very high, but they are not out of line with the recent highwater mark of 2018-2019, when the individual contribution was also £90 and the firm contribution was £1,680.
The SRA’s consultation on the practising certificate fee and the Compensation Fund closes at midday on Monday 24 June 2024.
The SRA’s consultation on its business plan closes on Tuesday 2 July 2024.
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Press office contact: Naomi Jeffreys | 020 8049 3928