Law Society calls on govt to axe legal shake-up

The Law Society has called on the government to axe its plans to stop solicitors offering no-win, no-fee arrangements to their clients, adding that the plans are unlikely to lead to a premium saving for consumers.

The Law Society wants the government to suspend its plans and work with the legal profession to reform civil litigation procedures. The procedures need to be fairer, less expensive and more effective, the Law Society said in a statement.

“The reforms to civil litigation costs and funding which the government is proposing to introduce will further increase the profits of insurance companies to the detriment of consumers. There will be rejoicing in the boardrooms of insurance companies,” Law Society chief executive Des Hudson said in response to a Transport Select Committee evidence session on the cost of motor insurance.

“The government has not only bowed to pressure from insurers, but it has also fallen for the propaganda about the so called ‘compensation culture.’ This is something for which no credible evidence exists.”

Government proposals mean that solicitors would no longer be able to offer no-win, no-fee arrangements to clients.

The Law Society expressed concern that these proposals will mean that many people who suffer loss and  damage will not be able to get compensation and the insurance industry will not have to pay anything out. 

The Society believes the insurance industry has created a compensation culture smokescreen to hide the real issue insurers putting the interests of shareholders ahead of those of consumers, the statement said.