Employed solicitors 'could advise public'

The high street could soon be transformed if the Law Society Council approves the principle of allowing employed solicitors to offer services directly to the public.The council is set to vote in March as part of the work of the regulation review working party.

Any rule change would be brought back at a later date.If relaxation of the current ban is approved, it could open the door to insurers, banks, building societies, claims management companies, conveyancing factories, accountants and others offering legal services on the high street.The move is part of the working party's policy of regulating to preserve the profession's core values and promote good-quality service, while ensuring that restrictions on entity and on methods of conducting business go no further than is needed to preserve enduring values, or to maintain public trust in the profession.Edward Nally, chairman of the working party, said this was a serious option for the council to consider.

'We are trying to give the next generation of solicitors flexibility in the ways of delivering legal services,' he explained.

'In future, the private practice model will not be the only one.'Around 20% of solicitors are employed outside private practice, while another 49% are in high street practices.

An initial paper seen by council last month predicted that if companies such as Virgin or Abbey National enter the legal services market, they will be able to offer solicitors they employ proper career and management structures, as well as capital investment and financial backing, all major problems for high-street firms at the moment.Possible models of business include companies buying law firms, sub-contracting to them, or offering franchises to solicitors.

On the downside, the paper acknowledges that the solicitor qualification could be devalued by such a move, while the economic power of large non-solicitor organisations could lead them to dominate any area of legal work they enter.'This could render high street practice unavailable in many areas, leaving clients with a poorer range of choice, and many solicitors with no alternative but to become salaried employees,' the paper said.

By Neil Rose