Further evidence submitted by the Rt Hon
Lord Falconer of Thoroton, Secretary of State, Department for
Constitutional Affairs (LAR 174a)
LEGAL AID
REFORM
I thought you might find it helpful for me to
send you some of my thoughts on the issues we will be discussing
at this afternoon's session.
I can think of no better way of beginning than
to quote the words of this Committee when it reported on the provision
of civil legal aid in 2003-04: "the number of people helped
is a key indication of how successful the system is." My
aim and most basic principle in reforming legal aid, is to ensure
we help more people.
This is why I asked Lord Carter to suggest a
system that would ensure clients have access to good quality advice
and representation, that would allow for a good quality, efficient
and sustainable practitioner base, maximise value for money for
the taxpayer,and contribute to an efficient, effective and simple
justice system.
Some have seen Lord Carter's work as proposing
a revolution in legal aid. Undoubtedly the move to a market-based
system will be a major reform. But his work, and especially his
proposals for fixed and graduated fees in the interim period,
should be seen as building on the considerable success we have
had with fixed and graduated fees in both criminal and civil legal
aid over recent years.
For example, since 2004 the Legal Services Commission
has been paying private sector practitioners a fixed fee for civil
help work. We have also been encouraging improved performance
from the Not-for-Profit sector. Partly thanks to this, and partly
thanks to innovative ways of delivering advice, the LSC will help
over 30% more people this year than two years ago under civil
legal aid. Put simply, and as Lord Carter recognised, the more
we pay out in hourly fees, the fewer people we can help within
a fixed budget. We need a legal aid system that encourages efficiency
and maximises the transparency of the way money is paid out. This
is the way to keep helping more and more people.
Furthermore, if we can keep the cost of criminal
legal aid firmly under control, we will be able to free up resources
for civil and family legal aid. We know that there continues to
be unmet need for civil and family help. Whilst we will never
be able to meet every single need, we absolutely must get the
system performing as well as possible in order to help as many
people as we can.
We consulted widely on the original proposals.
We listened, and made changes to the timing, detail and sequencing
of the proposals. This process of consultation and listening continues
as we move forward with implementing the reforms.
I am unsurprised that the professions have not
warmly welcomed the reforms. Challenging the status quo
is rarely welcomed. But I do know that the proposals contain opportunities
for the more forward-looking and efficient firms to prosper. Most
importantly, the reforms will ensure we get much better value
for money from the £2 billion per year we spend on legal
aid in England and Wales. We want to get the fairest deal for
clients and taxpayers with this money.
This is why the reforms are the right thing
to do. And this is why we would be doing this even if the legal
aid budget were considerably increased. They are our best opportunity
to secure a legal aid system that helps the maximum number of
people.
February 2007
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