The Council for Licensed Conveyancers (CLC) has published a consultation on their annual review of Licence and Practice Fee Arrangements.
The consultation paper notes the reduction in Practice Fee three times since 2016 that has resulted in a cumulative decrease of 42%. This has been achieved by reducing the regulatory burden despite a significant proportion of costs being outside of their control, including levies that fund the Legal Services Board and Office for Legal Complaints/Legal Ombudsman(OLC). The latter of these costs is the greatest cost which continues to grow, with the final invoice in 2019/2020 being £422,832. This cost was almost double the 2011/2012 fee an is expected to increase to £496,238 in 2020/21.
The CLC is looking to further reduce their costs as well as increase further efficiency in areas of costs they control.
The CLC has stated:
“This year, we have the as yet uncertain impacts of the pandemic and Brexit to take into account as we plan our work for 2021 and beyond and as we consider the resources we need to fund to support the regulated community through what could be challenging times. We are aiming to make the demands for payment sent to CLC practices more transparent this year by setting out clearly the different elements of the charges they are required to pay.
“We wish to avoid any increase in Practice Fee rates unless absolutely necessary. As such the CLC is proposing to keep the Practice Fee rates unchanged at the level set in 2019
“We are also proposing to maintain the Compensation Fund Contribution at their current rates.”
The consultation paper sets out more detail on the license and practice fee arrangements, and the CLC is asking for responses by 5 pm on Friday 3 July 2020.
All responses should be sent by email to consultations@clc-uk.org or by post.
