Fears as LSC reworks legal aid contracts

Every criminal law firm in the country will this month receive a notice terminating its legal aid contract for 2004 to make way for amendments to the standard terms, the Gazette has learned.

But the Legal Services Commission (LSC) cannot yet reveal what they will be or guarantee that it will offer every firm a new contract.

In a letter to practitioner groups, Criminal Defence Service head Richard Collins said: '[We] will be writing to all suppliers prior to April [2003] to provide a technical notice of contract termination.

This will not directly affect any supplier but it is necessary for us to make further amendments to the standard terms with effect from 1 April 2004.

We will be sending fresh contracts for signature prior to this date and will, of course, consult fully on any amendments we propose to make to the standard terms.'

An LSC spokesman explained that without terminating the criminal contract, it could only amend the standard terms to reflect changes made in the civil contract.

He said the LSC did not yet have the proposals to form the basis of consultation.

'However, in order to enable any changes to the standard terms to be made from April 2004 it is necessary for us to give technical notice of termination at this stage,' he said.

Legal Aid Practitioners Group director Richard Miller called on the LSC to promise all firms that they would have the opportunity to sign new contracts.

The LSC could not provide the Gazette with that assurance this week.

However, Mr Miller warned that even if firms did get the chance, they might not like what was on offer.

'It is essential that consultation should start as soon as possible on the new terms,' he argued.

'In the meantime, we would advise all firms working under a criminal contract to review their business plans, and try to develop some alternatives to criminal law in case the new contract is not acceptable to them.'

Law Society chief executive Janet Paraskeva said: 'The Society is urging the commission to consult solicitors as early as possible on its plans for new terms for criminal legal aid contracts.

On-going uncertainty will do nothing to improve the retention and recruitment problems faced by firms.

Without an increase in legal aid funding, the government's crime reduction plans may be derailed by a shortage of criminal defence solicitors.'

Rodney Warren, director of the Criminal Law Solicitors Association, demanded that the LSC put its cards on the table immediately.

'We are surprised and concerned at the decision, not only due to the uncertainty it will inevitably cause within the profession but also because the technical notice of termination is being given without any indication of what actually lies behind it,' he complained.

'What are the plans for the future? We have been waiting since last summer for a clear indication - in particular for some movement on the issue of remuneration rates - but still there is nothing.'

Paula Rohan