Government's proposed reform of legal aid - Justice Committee Contents


Written evidence from the Rochdale Law Centre (AJ 42)

Sadly, despite the Government's pledge to protect the poor and vulnerable from the effects of public spending cuts these proposals appear to ourselves to target precisely that group.

The proposals in their current form will lead, we feel, to greater inequality of arms in many cases especially against large employers or public authorities.

The proposed reduction in rates of pay will also significantly affect the ability of providers to continue to deliver publicly funded advice and representation within a system that already lacks adequate resources.

The proposals are unlikely to result in a reduced workload for the civil courts. We predict that there will be a marked increase in the number of cases brought by litigants in person which will clog up the system and increase the amount of court time per case. This will be a drain on the already strained resources of the court system. Even worse, people will be put off from bringing or defending claims at all.

We propose that publicly funded legal services be block funded in defined geographic areas with consortia being formed by practitioners to commission services from appropriate providers in their area.

What impact will the proposed changes have on the number and quality of practitioners, in all areas of law, who offer legal aid?

1.  The impact of the Government's proposals to remove vast areas of law from the scope of the legal aid system is likely to be significant. Many private practices that undertake legal aid work already subsidise the legal aid work they do from other income streams. Legal aid work is already restricted and the number of paid hours allocated to each case is woefully inadequate. The lack of adequate funding means that many legal aid practitioners have to put in hours of unpaid work to ensure that legal aid clients receive a proper service.

2.  The reduction in fees will make the need to subsidise legal aid work more pressing, and many small to medium sized firms will find that they are no longer able to subsidise legal aid work, due to the economic pressure they will face.

3.  The proposed cuts will impact even more significantly on voluntary sector providers such as Law Centres, who also face devastating cuts to the funding they receive from Local Authorities, themselves under pressure to save money.

4.  Previous reductions in legal aid funding have already led to a reduction, over the past ten years, to almost half of firms undertaking family legal aid,[91] and the proposed cutting of legal aid to private law family matters other than those that raise a human rights or public interest issues, will lead to a large number of the remaining firms finding that continuing to administer legal aid contracts will no longer be possible.

5.  The removal of legal aid from employment will lead to a significant reduction in work for those practitioners who only undertake claimant work, as many claimants will not be in a position to afford legal advice. Employment practitioners who work in the voluntary sector such as Law Centres are likely to face redundancy as they are unable to undertake respondent work.

6.  Immigration practitioners face a large reduction in the type of work they can undertake under these proposals. This will lead to a further reduction in the number of immigration practitioners. The reduction in the amount of work that can be funded coupled with the cost of accreditation required for immigration and asylum work could see a reduction in the number of people entering this area of work.

7.  Over the past few years the reduction in funding for legal aid work has led to a decrease in the number of barristers who do it. Those barristers who do undertake it face financial pressure to diversify. This in turn will lead to a loss of specialist support for practitioners.

8.  Law firms continuing to undertake legal aid work in social welfare law are likely, due to the uneconomic nature of the work, to allocate the work to junior or inexperienced caseworkers. This could lead to a reduction in the quality of advice available. The reduction in legal aid specialists is more likely to be felt in rural and smaller urban areas, and could result in significant areas of the country becoming advice deserts.[92]

9.  These proposals will have a significant impact on voluntary advice services which are often only able to cope with the large number of enquiries they receive, because they are able to rely on referring clients to legal aid practitioners.

10.  The quality of advice that the voluntary sector can offer will also be adversely affected by the proposed cuts to legal aid funding, because many voluntary sector advice workers receive training and advice from legal aid practitioners. In Rochdale, the Law Centre provides a programme of training on issues such as immigration and asylum, housing, community care and employment law. This training is aimed at volunteers and paid workers in the advice sector.

The Government predicts that there will be 500,000 fewer cases in the civil courts as a result of its proposed reforms. Which cases will these be and how will the issues they involve be resolved?

1.  It is questionable whether the Government's proposals will lead to a reduction of 500,000 cases in the civil courts. What is clear is that should the proposed reforms be implemented there will far fewer cases in the civil courts which are funded through legal aid.

2.  It is our view that a large number of those cases where a party would previously have been eligible for legal aid will continue to be brought before the civil courts but they will be conducted by litigants in person. Alternatively parties may be deterred from accessing the justice system at all.

3.  The proposed removal of immigration cases from scope will lead to an increase in the amount of court time needed for cases as unrepresented parties try to negotiate their way through the legal process. The increase in litigants in person, who have little or no knowledge of the judicial process, is likely to result in an increase in the amount of time courts spend on individual cases. This in turn is likely to result in an increase in costs to the court service.

4.  It has been suggested that where people have brought complex legal cases before the immigration tribunal, and those claims fail for the lack of legal representation, those people have effectively been denied the right to appear before the Immigration Appeals Tribunal.[93]

5.  The removal of legal aid for immigration advice is also likely to result in an increase in people seeking assistance from MPs and their caseworkers.[94]

6.  The Government predicts that the implementation of their proposals may result in an increased use of mediation as an alternative to "unnecessary" court action. However in areas such as employment and family law, little account has been taken of the work undertaken by specialist legal aid practitioners who skilfully negotiate settlements at an early stage, thus reducing the number of case brought before the courts.[95] Non-availability of legal aid in such cases is likely to increase the number of cases before the courts.

7.  In divorce cases mediation already plays a significant role. These proposals do not take into consideration that mediation is only likely to resolve matters if both parties agree to it. Mediation also needs to be introduced at an earlier stage in the proceedings, but only where it is safe and appropriate to do so.[96]

8.  The proposals also fail to note that mediation does not enable parties to obtain advice on whether any financial settlement is in fact just. Lack of legal advice at this stage could result in one or both parties requiring further access to the legal advice in relation to housing, benefits or debt.

What action could the Government be taking on legal aid that is not included in the proposals (for example, on Very High Cost Cases)?

1.  We propose that the Government reform the delivery of publicly funded legal services along similar lines to the reforms being proposed in the NHS.

2.  The services provided by Law Centres in particular operate in a way comparable with the NHS in that comprehensive legal services are provided from basic advice to representation in the higher courts, free at the point of need, regardless of ability to pay.

3.  We propose that legal aid practitioners form consortia that would take responsibility for the legal aid budget for a defined area and purchase the necessary services from providers whether they be in the private, public or not-for-profit sectors. As with GPs solicitors delivering publicly funded legal services are in the best position to know the needs of their local community and to commission services accordingly.

4.  Appropriate safeguards are in place as solicitors are already regulated by the Solicitors Regulation Authority whose role is complemented by the independent Legal Services Ombudsman.

5.  Were the Government to take such an approach it would also enable them to cut the bureaucracy of legal aid by abolishing the Legal Services Commission (LSC).

Do the proposals to implement the Jackson report recommendations on civil court funding and costs adequately reflect the contents of the report?

1.  At paragraph 9.33 of the Government's Proposals for the Reform of Legal Aid in England and Wales[97] it is stated that if Sir Rupert Justice Jackson's proposals "were introduced without any changes to the legal aid scheme, legal aid would be a more attractive funding route because claimants would keep all of the general damages awarded".

2.  We disagree with this statement for the following reasons:

(i)  The Government assumes, incorrectly, that legal aid and CFAs are interchangeable. They are not. For example if a proposed claimant is seeking to bring a clinical negligence claim, a solicitor is required to explore whether that client is eligible for public funding. If they are they must be advised of their likely eligibility and if they wish be referred to a solicitor able to conduct such publicly funded work. The first solicitor cannot just keep the case and offer the client a CFA. Similarly a claimant who is financially eligible for legal aid but whose claim has insufficient prospects of success cannot choose legal aid over a CFA. In practice the choice between legal aid and a CFA is rarely made on the basis of which of the two is more "attractive".

(ii)  The Government has ignored the fact that in reality a CFA may already be more attractive to a client than legal aid because of the presence of the statutory charge and/or monthly contributions towards their costs.

3.  At paragraph 9.42[98] the Government suggests that positive efforts should be made to encourage take-up of legal protection insurance by householders as an add-on to household insurance policies, particularly in housing and employment cases.

4.  We are concerned that many housing clients in particular whose cases may shortly be outside of the scope of legal aid will not find that such insurance is affordable. Many of the poorest and most vulnerable households cannot afford contents insurance at all without the additional £15-£20 that legal expenses cover might cost (this is the figure suggested by Sir Rupert Jackson). Research has suggested that those households on the lowest incomes already face a £1,300 "poverty premium" when buying goods and services such as insurance because they do not have access to bank accounts or because of where they live.[99]

5.  Sir Rupert Jackson recommends the simplification of housing law in accordance with Law Commission proposals as one way in which costs in housing cases can be reduced (recommendation no. 44). However the Government has not included this proposal in their consultation and is seeking to make social housing tenure more complex as set out in a separate consultation paper "Local decisions: a fairer future for social housing".[100] We support Sir Rupert Jackson's call for simplification in this area. The case for doing so is also supported by other practitioners.[101]

6.  Sir Rupert Jackson's final report recommended (recommendation 16) that financial modeling should be undertaken to assess the financial viability of a Supplementary Legal Aid Scheme (SLAS) as the evidence does not support that such a scheme would be viable. It is unclear from the Government's proposals whether they intend to carry out such modeling as part of the work that is to be done to enable a decision to be made on whether to implement such a scheme or not.

7.  We would urge the Government to consider as part of this exercise that without an increase in general damages for legally aided clients as well as those funded through a CFA legally aided clients will lose out. In addition accessing justice will cost more for legally aided clients when taking into account the statutory charge that will already apply to client's compensation if they were legally aided and the other side aren't paying their costs, they may also be contributing to their costs as the case progresses via monthly contributions and also a % take of a legally aided client's damages seems to us to be another "poverty premium". Why not take a percentage of all general damages towards a SLAS regardless of the type of claim and how it has been funded?

What are the implications of the Government's proposals?

Employment cases

1.  Many cases will be unsuitable for CFAs and will not be picked up by the private sector. The lowest paid and most vulnerable workers are likely to fall into this category. These are also likely to be the individuals who do not have access to membership of a Trade Union eg claims for payments of the minimum wage, non payment of wages or non payment of holiday pay.

2.  Employment laws are numerous and complex with strict deadlines for bringing claims. It is very difficult for many workers to identify when their rights are being infringed especially those who are in less skilled jobs and who have learning disabilities or mental health issues or for whom English is not their first language. This may also result in many unmeritorious claims being issued in the Tribunal as the "filter" which early advice provides will not be there.

3.  Breaches of employment rights can often have a devastating effect on individuals and result in anxiety, depression and loss of confidence. This would make it extremely difficult and in many cases impossible for Claimants to confront employers or former employers in the Tribunal without representation.

4.  Although the Tribunal system was designed to be accessible to litigants in person, in practice the law is complicated and employers are almost always represented and have the means to instruct an advocate. If legal help is no longer available to Claimants this will result in increased inequality of arms between the parties. The current cost per case of employment advice is £230 which is a very small cost to ensure that those who cannot afford to pay have access to justice.

5.  Increasing numbers of litigants in person are likely to cause problems for the Tribunal system itself. Unrepresented litigants are less likely to comply with directions and to understand the rules of evidence. Litigants may follow the procedure but then be unable to face a former employer at a hearing.

6.  Claims with merits are more likely to succeed with specialist qualified advice and representation. For example over the past five years Rochdale Law Centre employment solicitors have recovered £1,000,000 in compensation for clients which has benefited the local economy and encouraged local employers to comply with the law.

Housing cases

7.  In the area of allocations/re-housing by social landlords the provision of advice prevents homelessness and associated trauma eg family break-up, loss of employment and interrupted schooling. At Rochdale Law Centre we commonly see clients whose homes are overcrowded or in serious disrepair, or who have physical disabilities resulting in problems within their own accommodation eg using internal stairs. Advice and representation at an early stage enables these clients to make use of social landlord's review processes and access suitable housing. This is a preventative measure rather than intervention only being available when there is a crisis.

8.  Current proposals may also mean no redress for tenants against unlawful evictions for clients who do not want to be re-admitted to the property but may have lost belongings and been severely traumatised. This may mean that landlords who have behaved the worst ie where there have been threats of or actual violence and intimidation, will remain unchallenged if the client is too afraid to return.

9.  The cost of a housing case is minimal £174 and the benefits to a family are often immeasurable.

10.  These types of case are important to protect the rights of the poorest and most vulnerable and these clients will not be able to fund advice and representation in any other way. Where the client's goal is to be housed rather than damages CFAs other types of funding such as CFAs will be inappropriate.

Reduction in rates of pay

11.  Civil Legal Aid rates have not been increased for a number of years. The rates already make it extremely difficult to provide services without additional funding from elsewhere. The rates paid for legal aid are considerably less than the rates recommended by the Courts for even a trainee solicitor. Many suppliers have already given up contracts and are struggling given increasing core costs such as premises and equipment.

12.  The civil legal aid budget is relatively small and cuts to this will target the most poor and vulnerable in society. If the Government genuinely wants to build a fairer society these groups should not be made to bear the brunt of savings especially in a time when unemployment is high, state benefits are being reduced and affordable housing is scarce.

January 2011



91   Resolution briefing paper, January 2011 Back

92   Jill Insley, a working life: the legal adviser, Guardian 22.01.11 Back

93   Community Sector Coalition Proposed legal aid cuts: why and how to resist them January 2011. Back

94   ibid Back

95   Resolution briefing paper January 2011 Back

96   ibid Back

97   Ministry Of Justice Proposals for the Reform of Legal Aid in England and Wales Consultation Paper CP12/10 November 2010 Back

98   ibid Back

99   Rachel Williams "Poor families must pay an extra £1,300 a year for basic goods and services" 11 January 2011 The Guardian Back

100   Department for Communities and Local Government Local decisions: a fairer future for social housing 22 November 2010 ISBN 9781409826460 Back

101   See Garden Court Chambers response to the Government's proposals for social housing at
http://www.gardencourtchambers.co.uk/imageUpload/File/Housing%20Team%20Responds%20to%20Government's%20Housing%20Plans.pdf 
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