The SRA has announced its desire to close the Solicitors Indemnity Fund (SIF) and remove any regulatory requirement for solicitors to maintain cover after six years (PSYROC).
It would allow :
- ending current provisions, which protect consumers from long-term risks related to legal services, particularly in areas such as transfer of property, wills and estates, and child personal injury
- removing important safeguards of their rights established by parliament and upheld by the courts
Our point of view
We are concerned that any decision by the SRA to shut down SIF and terminate PSYROC as a regulatory arrangement will not respond to the practical alternatives suggested by the analysts who provided their expert report.
It would also be bad for consumers, whose interests the SRA has a legal duty to promote and protect.
We believe that the regulatory objectives and regulatory principles of the SRA would be better served by maintaining the SIF, funded by an annual fee on law firms.
To be involved
We strongly encourage local members, firms and bar associations to respond to the consultation.
The consultation closes on Tuesday, February 15, 2022.
Learn more about the consultation on the future of SIF and PSYROC