Monopoly: study of professional rules in 12 countries

The European Commission has taken a step towards liberalising the conveyancing market in Europe this month, by launching a tender for a study into regulation in the sector.


The study will look at the rules of professional bodies in 12 countries, and is likely to examine the monopoly enjoyed by notaries in certain jurisdictions, including France.


The commission has recently held up the UK as a 'liberal country' in relation to its conveyancing rules, noting that 'price deregulation' here has not led to any disproportionate escalation of legal fees.


However, the commission warned that conveyancing in parts of Europe is 'characterised by inefficiencies' and 'unnecessarily high levels of regulation'. UK lawyers have lobbied against the 'protectionist' rules in France and Spain, where certain aspects of conveyancing work may only be performed by French or Spanish nationals.


Law Society President Kevin Martin said: 'There are huge disparities in legal costs from one member state to another. We have much lower conveyancing costs in the UK compared to many other member states where consumers have to pay a percentage of the property price in legal fees and where there is very limited competition. The commission will be using this study to identify evidence to support its drive against restrictive regulation.'


David Anderson, a partner at London firm Sykes Anderson and head of the French Law Association, said he welcomed the study. He said the fees levied by French notaires are 'outrageous', and in some cases almost three times those charged by solicitors in the UK.