Legal Ombudsman strikes right balance on case fees
01 Sep 2025
1 minute read
News
The Law Society of England and Wales supports the Legal Ombudsman’s (LeO) balanced approach to increasing case fees, as well as the introduction of a regular review mechanism, in response to LeO’s latest consultation on case fees*.
LeO has proposed an inflation-matching case fee rates rising from £400 to £600, rather than the previously suggested £800, demonstrating responsiveness to concerns raised in the earlier consultation**.
Law Society president Richard Atkinson said: “We recognise the importance of ensuring LeO is adequately resourced; however, it is essential that costs imposed on legal service providers are reasonable, proportionate, fair, and predictable.
“We are pleased that LeO has reconsidered its earlier proposal and now seeks a more modest increase that aligns more closely with inflation.
“We urge LeO to continue monitoring the effects of increasing case fees as it will have a material impact on some firms***. It is important to ensure the funding model does not inadvertently discourage firms from undertaking work that is vital for people to be able to access justice.
“We welcome a structured, predictable review process for LeO’s case fees to ensure that future changes remain fair and manageable for our members.
“A five-year review cycle should strike a reasonable balance between proper oversight and administrative efficiency. While we support the Scheme Rules changes needed to enable these reforms, we expect that any future fee rises will depend on clear evidence of improved performance and compliance with LeO’s statutory remit.”
** In our response to LeO’s budget consultation in December 2024, we expressed serious concerns about the impact of doubling the case fee on the viability of certain areas of legal practice – namely legal aid and residential conveyancing.
*** Especially those firms operating in high volume, low-margin areas of legal work.
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