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I had a twitter exchange with Crispin on this issue. In essence this and other reforms is driven by a desire to increase competition because it is felt by LSB and CMA that people and business owners cant access legal advice.
This is based on research commissioned by CMA which I have read and which is very flimsy. The policies drawn up from the research dont stand up to any real scrutiny.
There is nothing wrong in theory with Solicitors working for unregulated businesses. However if something goes wrong it is the Solicitor brand that will suffer along with the consumer, who will lack redress. Therefore those who support this "reform" must understand what it is they are doing.
The SRA is far too keen to do what the LSB and CMA thinks is a good idea. It should stand up to these organisations and challenge the attitudes and policies and protect Solicitors and our clients.
The SRA and LSB purport to be independent regulators. Perhaps they ought to show independence of thought instead of being the Government's poodle.