The Co-operative Group is to launch a legal services business that will be available to its 1.5 million members.

Co-operative Legal Services will launch in July offering conveyancing, will writing, probate and claimant personal injury services.


The operation will be headed by Eddie Ryan, former managing director of RAC Legal Services, while former RAC head of legal practice Jonathan Gulliford has been appointed director of operations. The two left the RAC when it was taken over by Aviva last spring.


Mr Ryan told the Gazette that the Co-op will initially take on 20 lawyers in-house to offer legal services. He said he is also in discussions with several law firms, with a view to creating a six-strong panel to deal with conflict work and work for Co-op customers who are not members.


While current law prevents the Co-op from providing legal services to non-members, Mr Ryan said he intends to offer these services directly to the public as soon as the government's liberalisation of the market comes into force, expected in 2008. He added that the Co-op may retain preferential rates for members. Members of the public can currently sign up for membership of the Co-op for a nominal fee of £1.


The Co-op already offers legal expenses insurance cover for more than two million customers who have motor, home, travel or commercial policies with it, through an arrangement with insurer DAS. Mr Ryan said it was likely that the claimant personal injury work associated with these policies would be moved in-house, subject to the contractual arrangements in place with the firms currently performing the work.


Mr Ryan said: 'High street firms don't need to worry where they have a good supply of work. [But] people will turn to the Co-op brand where they do not already have a relationship with a lawyer, and want to turn to a brand they trust.'


He added that he anticipated that other membership organisations will want to offer legal services to the public once legislation permits.


Last year, the AA announced its intention to offer wills, conveyancing and personal injury work to the public as soon as legislation allows (see [2005] Gazette, 17 November, 1). The RAC currently offers legal services to members, but has not yet indicated whether it will offer these to non-members when the law changes.


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