Legal sector needs clarity on AI

In response to the UK government’s call for evidence on the AI Growth Lab, the Law Society of England and Wales has highlighted the critical need for clarity rather than flexibility in the legal sector’s approach to artificial intelligence. Emphasising the importance of maintaining current regulations, particularly for reserved legal activities, the Society is keen to collaborate with the Department for Science, Innovation & Technology. They aim to ensure that any newly established legal services sandbox will provide clear guidance on AI usage that upholds both professional standards and public trust.

With two-thirds of lawyers already utilising AI tools in their practice, uncertainties prevail regarding data security, oversight, and liability. The Law Society has stated that rather than altering or creating new regulations, there should be clear and practical guidance on existing rules. This guidance would address various concerns including whether client data needs to be anonymised when inputted into AI platforms, how data security and sharing should be managed, and the level of oversight lawyers must maintain over AI applications in legal services.

Moreover, critical questions arise regarding the responsibility tied to AI-generated legal advice—specifically, if AI provides incorrect or harmful legal guidance, determining who bears the liability: the solicitor, the firm, the AI developer, or the insurer. Law Society CEO, Ian Jeffery, stated, “AI innovation is vital for the legal sector and already has great momentum. The existing legal regulatory framework supports progress. The main challenges don’t stem from regulatory burdens, but rather from uncertainty, cost, data and skills associated with AI adoption."

Jeffery further stressed the importance of regulation, saying, “Technological progress in the legal sector should not expose clients or consumers to unregulated risks. Current regulation of the profession reflects the safeguards that Parliament deemed vital to protect clients and the public. It ensures trust in the English and Welsh legal system worldwide.” He concluded by asserting that the Law Society fully supports innovation, provided it aligns with professional integrity and operates within a robust regulatory framework, urging the government to work closely with legal regulators to maintain these standards in any future regulatory changes.