The representative body and regulator for legal executives have been drawn into a remarkable public row about the future oversight of the profession.

The trigger for the dispute was an email sent by the Chartered Institute of Legal Executives sent on Tuesday morning, saying that the board had decided it was ‘time to reconsider the future regulation’ of members.

CILEX said the current regulatory arrangements, where duties are delegated to a separate body called CILEX Regulation, are outdated and do not take account of changes to the sector in the 15 years since they were introduced.

The email explained that talks had started in January 2022 about reviewing the delegation of regulatory functions, which had progressed so far that Chris Kenny, former chief executive of the Legal Services Board, had been drafted in to consult on the next steps.

The only problem with such proposals was that nobody seemed to have agreed anything with CILEX Regulation. That body then made a statement in response saying that the CILEX email ‘may have created the impression’ that CILEX is in a position to change regulatory arrangements or that CILEX Regulation had ceased to be in charge of regulating legal executives. The body accused CILEX of working in ‘great secrecy’ to undermine its position.

Chris-Kenny

Kenny had been drafted in to consult on the next steps

The statement said: ‘We would like to reassure you that CRL continues to discharge all of its functions and will continue to do so for the foreseeable future.’

CILEX Regulation denied any suggestion it was failing to fulfil its responsibilities and said it was ‘with regret’ that CILEX appeared to have decided otherwise without any process of consultation.

The statement continued: ‘In the relatively short time since CRL discovered CILEX’s plans, it has attempted to establish a dialogue with CILEX including proposals for a joint review to ensure the most efficient use of resources.

‘We still think this is the best way forward. We have also offered to cooperate with the Kenny review in a way that is lawful and gives sufficient time for issues to be considered. We regret that CILEX has not yet agreed.’

The Legal Services Board, the oversight regulator, has had to step in to mediate the row. In its own public message, the LSB said CILEX’s proposed changes required its approval and that any reforms would need to be subject to wide and thorough public consultation.

The LSB added: ‘In the meantime, nothing has in fact changed and we strongly encourage CILEX as the approved regulator and CILEx Regulation as the regulatory body to work together to minimise any risk of uncertainty and worry for affected businesses and individuals, and to ensure continuity of regulation in the interests of the public and consumers.’

A Law Society spokesperson said: 'We look forward to the final outcome of CILEX’s deliberations on their preferred regulatory model.'

 

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