Question to the Ministry of Justice:
To ask the Secretary of State for Justice, if he will take steps to help support people affected by the poor performance of specialist conveyancing businesses which are not regulated by the Solicitors Regulation Authority.
The regulation of legal services in England and Wales operates independently of government and is underpinned by the Legal Services Act (LSA) 2007. The Act establishes a framework under which certain activities, known as reserved legal activities, may only be carried out by authorised persons regulated by an approved regulator (or persons otherwise exempt from authorisations). Conveyancing is a reserved legal activity when it involves legal tasks such as preparing instruments like transfer deeds, charges, and applications for land registration.
Reserved conveyancing services are regulated by approved regulators under the LSA 2007, for example the Solicitors Regulation Authority where they are provided by solicitors or solicitor-led firms, and by the Council for Licensed Conveyancers (CLC) where they are provided by licensed conveyancers or CLC-authorised firms. In both cases, authorised providers are subject to professional standards for entry to the profession, ongoing regulatory oversight which includes ensuring adherence to a wide range of published codes of conduct, mandatory Professional Indemnity Insurance, and clear and transparent complaints arrangements. Consumers may pursue redress through internal complaints procedures and then through the Legal Ombudsman if the response from the provider is not satisfactory.
The Government recognises the impact that poor performance by conveyancing providers can have on consumers. The home buying and selling process is currently being reviewed by the Ministry of Housing, Communities and Local Government who recently consulted on proposals to drive improvements. This has involved extensive engagement with the wider industry, including conveyancing regulators, to ensure it takes maximum advantage of the opportunities of technology to improve the functioning of the housing market in the consumer and public interest, and support growth. The Ministry of Justice keeps the overall framework for legal services regulation and associated consumer protections under review to ensure it remains proportionate and effective, but has no current plans to introduce additional measures.