CLLS Response to SRA Fining Powers Paper: "Arbitrary, not fit for purpose, and inconsistent with its obligations in common law and statute"

The City of London Law Society (CLLS) – the professional representative body for solicitors and law firms in the City of London – has today raised a wide range of concerns over the Solicitors Regulation Authority’s (SRA) proposals to extend its fining powers as set out in “Financial Penalties: further developing our framework”. While not opposed to a scheme that provides for substantial fines, as that is clearly what Parliament intended, the CLLS considers that the way the SRA has gone about this is flawed.

In a detailed response, the CLLS has published a series of robust points about the flaws it has identified in the SRA’s proposals, which it finds in places to be arbitrary, not fit for purpose, and inconsistent with its obligations in common law and statute.

Iain Miller, Chair of the CLLS Professional Rules and Regulatory Committee which drew up the submission, said: “The more we went into the SRA paper, the more confused it became. It looks as if the SRA has offered a policy without thinking through its ramifications, without a clear grasp of the essentials, and without any proper consideration of the underlying law. We urge the SRA to reconsider its proposals.”

Colin Passmore, Chair of the CLLS, added: “The CLLS cannot agree with a policy which so many of our specialist lawyers consider is fundamentally flawed. We cannot see how the SRA can now continue to proceed with its proposed approach. That said, we are more than prepared to work with the SRA to help produce a more sensible and proportionate policy.”

Further details and an Executive Summary of the response can be found in the document below. The full CLLS submission to the SRA can be consulted at: https://clls.org/resource/cllsresponsesrafiningpowers2024.html