SLCC proposes 9% levy rise for 2023-24
The levy paid by solicitors to the Scottish Legal Complaints Commission in 2023-24 will return to just below pre-pandemic levels, on the proposed budget put out for consultation by the SLCC today.
A rise of 9% will mean the rate for principals and managers increases from £444 to £484, while the employed solicitor’s levy goes up by £32 to £393, with solicitors in the first three years of practice paying less than half that (£166).
Advocates would pay £186, up from £171 (£156, up from £143, in their first three years); those practising outwith Scotland £129, up from £118; in-house lawyers £118 (up from £108); and members of the Association of Commercial Attorneys £125 (up from £115). Conveyancing and executry practitioners would pay the same rates as employed solicitors of equivalent years' experience.
The SLCC said a variety of pressures contributed to the rise, including "rebounding" complaint numbers and rising costs. "However, efficiencies now embedded in the system have limited this increase, which is below inflation, and keep the levy below the level set in 2020-21."
The levy has been cut by 5% or more in each of the last two years. Fewer complaints were received during lockdown, but the SLCC predicts a 5% rise in numbers this year and again next. It is also budgeting for inflationary pressures including energy, staffing, legal and court costs; the need to invest in cybersecurity; and continued provision for management and enforcement costs where solicitors fail to provide files to allow investigations to commence.
Consultation on the proposals is open until noon on Thursday 16 March 2023, after which a final budget and levy table will be set.
SLCC chief executive Neil Stevenson commented: "We know that any increase in the levy is an extra demand on firms, so we’re pleased to be able to limit this year’s increase to below inflation and below 2020-21 levels. With complaint numbers continuing to rebound following pandemic falls, and rising costs in a number of key areas, we must make provision in our budget to cover costs.
"The proposed budget is set to achieve the successful delivery of our core statutory duties – managing complaints and awarding redress, monitoring trends and delivering guidance and best practice support to the sector. We will also continue to make the case for reforms that will make the complaints process more efficient."
He added: "We have also looked at savings and hope to make significant cost savings through a potential property move around a lease break clause in September 2023. Details cannot be guaranteed until a final deal is reached, but it is a core part of our commitment to reduce the levy as much as practicable whilst delivering a fair service to the public and profession."