REFORM: advice groups say minorities will be hit, but LSC slams 'fundamentally flawed' reports


The introduction of fixed fees in social welfare law will have a discriminatory impact on black and minority ethnic (BME) communities in London, according to two reports published by the Advice Services Alliance (ASA).



The first claimed that the average case costs for housing, benefit and debt cases in the capital were between one-and-a-half and twice the value of the fixed-fee rates offered by the Legal Services Commission (LSC) and almost three times the level of fixed fee for employment cases.



The second report said cases for BME clients cost more nationally than cases for white British clients. It noted that in London 70% of all clients in these categories of law were from BME communities.



The ASA, an umbrella body for independent not-for-profit advice services, therefore concluded that it would be primarily those with complex problems in London - and especially members of BME communities - who would be hit by the adverse effects of fixed fees.



ASA director Richard Jenner said: 'If London suppliers react to fixed fees by reducing the legal aid work they do, changing their case mix, or reducing the quality of services they provide, the main losers will be members of BME communities. The introduction of fixed fees is therefore likely to have a discriminatory impact.'



Stephen Friday, chairman of the Black Solicitors Network, said the report further highlighted the need for a robust impact assessment before the reforms are introduced. 'Now the LSC is aware of the likely adverse impact, the onus is on them to make changes to ensure BME clients are not disadvantaged' he added.



An LSC spokeswoman claimed that the reports were 'fundamentally flawed' because they included exceptional cases, which would not come under the fixed-fee scheme, in calculations for average case costs.



She insisted that, overall, the fees proposed were not lower than the average costs in 2005/06 and for almost 70% of firms, they represent an increase.



In response, Mr Jenner said: 'On the LSC's own figures, only 5% of social welfare law cases will count as exceptional. The big problem concerns the types of cases and clients that fall between the two stools of the fixed fee and the exceptional fee. Our research shows that, in London, those clients will be mainly from BME communities.'



Catherine Baksi