SRA proposes increased fees for legal professionals

The Solicitors Regulation Authority (SRA) has revealed its intentions to increase the Practising Certificate Fee (PC Fee) and Compensation Fund as part of its business strategy for 2026-2027. This announcement has raised significant concerns among legal professionals, particularly concerning the financial burden such increases may place on them. Mark Evans, president of the Law Society of England and Wales, expressed his worries, stating “A substantial proposed increase is deeply concerning.”

Evans further emphasised the importance of the Compensation Fund, which he described as “a vital protection for consumers and clients.” He acknowledged the challenges that the fund has recently faced, especially in light of failures such as PM Law, and recognised the necessity to rebuild its reserves. However, he highlighted the difficult position that legal professionals find themselves in, stating, “But we cannot forget that it is the hard-working front line of the profession that bears the cost of fixing an organisation, which had lost focus on its core role as demonstrated by its failures over the Axiom Ince and SSB collapses.”

The newly appointed SRA CEO, Sarah Rapson, is seen as facing an uphill battle due to these legacy issues. Evans has welcomed her openness in addressing these problems, remarking that “we do not doubt that this will require money and resource.” Yet, he insists that any fee increases should be accompanied by “a credible and transparent plan from the SRA to deliver measurable and long-lasting improvements.” This sentiment reflects the broader need for engagement between the SRA and legal professionals to reassure members that the regulator is working to prevent past issues from recurring.

Evans concluded his remarks by affirming the Law Society’s support for the SRA's focus on core functions. He stated, “We welcome the SRA’s focus on its core functions and addressing the issues that were identified following the collapse of Axiom Ince and SSB.” He also noted that several of the SRA’s proposed areas of focus are aligned with the Law Society's own priorities, which include “enabling innovation through the responsible adoption of new technologies, protecting consumers from harm and enhancing the Solicitors Qualifying Exam.”