The Office for Legal Complaints (OLC) has published the Legal Ombudsman’s draft 2026/27 business plan and budget, marking the final year of its 2024-27 strategy.
The ‘ambitious’ plan has been drafted in response to record complaint volumes and sets out ‘a bold agenda for transformation’, the OLC said, adding:
“LeO is receiving unprecedented numbers of complaints from people unhappy with the legal service they have received and unable to resolve matters with their provider.
“In the first half of 2025/26 alone, complaints were 26% higher than the same period last year. Meeting this challenge requires strong collaboration across the sector. Improving complaint handling and delivering better outcomes cannot be achieved by LeO alone. Working together with providers, regulators, and representative bodies will be essential.”
Under the plan, the LeO will commit to resolving over 10,000 complaints – a 50% increase since 2019/20. ‘Demand for LeO’s help will more than double in the same period (2019/20-2026/27)’, the OLC said.
“New complaints in the first half of 2025/26 have increased 26% year-on-year. LeO needs adequate resourcing to meet the immediate demand challenge, but the scale of the increase requires fresh thinking.”
A Scheme Transformation Review will be introduced to ‘explore radical options for reform’, with continued investment in AI and digital solutions to improve efficiency and customer experience. The case fee will be held at £400, with a 12.1% recommended budget increase to meet rising demand and fund transformation.
‘The scale of the increases in complaints outstrip the significant performance improvements LeO has delivered in recent years: introducing early resolution, reducing customer journey times, and increasing productivity by a quarter since April 2021’, the OLC said.
“Closing this gap presents challenges for the whole sector: for regulators, for service providers and for the ombudsman. Imaginative and bold thinking is required, so LeO will undertake a Scheme Transformation Review to explore options for ensuring it has the agility to deal with rising demand.”
Elisabeth Davies, chair of the OLC (pictured), commented:
“LeO has transformed its service. These gains have been hard-won and must not be lost. But with complaints continuing to rise rapidly, LeO must be radical again and find new ways to meet growing demand.
“These challenges cannot be met by LeO alone. A sector-led approach is essential, including to improve standards of service and complaint handling, and LeO will continue to be a positive and proactive partner in supporting this improvement.
“Collaboration is key to lasting change, and that’s what sits at the heart of this consultation. We look forward to hearing stakeholders’ views on how we can work together to deliver for all customers of legal services.”
Stakeholders are invited to provide feedback on the draft business plan and budget by midnight on Tuesday 16 December 2025.
