Consumers the ‘elephant in the room’ in client account debate – LSCP
Summary
The Legal Services Consumer Panel says consumers should be central to the debate over interest earned on client money held in lawyers’ client accounts, with most respondents preferring that the interest goes to clients rather than to firms. The latest tracker survey also reports high overall satisfaction with legal services, but highlights weaker experiences where consumers feel they had little choice of provider and limited understanding of how to complain.
Why it matters
For residential property surveyors, the article is relevant because client money handling, regulated professional services and consumer expectations all affect transactions and associated legal processes. It also signals possible regulatory change around client accounts, which could influence conveyancing workflows and compliance expectations across the property sector.
Key points
- Most consumers said interest on client money should go to the client, not the lawyer.
- The LSCP wants regulators to commission more research on consumer understanding of client-account interest.
- Overall satisfaction with legal services remains high, but falls where consumers feel they have little choice of provider.
- Only half of consumers know how to complain if dissatisfied, and many take no action.
- Trust is strongest where providers are seen as specialist, regulated and clear in their explanations.
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