Legal Ombudsman proposes new test for escalating complaints

Legal Ombudsman explains proposed complaint reforms, including escalation and a 12-year long-stop

Scheme Rules changes proposed by the Legal Ombudsman (LeO) are intended to encourage earlier complaint resolution, reduce unnecessary escalation and focus investigations on cases where independent intervention is most needed.

The organisation set out the proposals in a consultation Q&A published on 20 August 2026 as part of its engagement on proposed changes to its Scheme Rules, case fees and its approach to publishing ombudsman decisions. The Q&A was provided by Steve Pearson, Deputy Chief Ombudsman.

LeO said the proposed changes build on amendments introduced in 2023. It said the complaints environment has since changed, with complaints increasing by 37% in 2025/26 and creating significant pressure on the service.

The proposed rules are intended to clarify expectations at different stages of the complaints process and encourage complaints to be resolved at the earliest appropriate opportunity. LeO said the aim is not to reduce fairness or accessibility, but to ensure complaints are dealt with in the right place and at the right time, with minimum formality.

For solicitors and other legal service providers, one of the key points is the proposed emphasis on real impact or detriment. LeO said it is not seeking to limit the number of complaints it receives, but wants to clarify that its focus should be on complaints involving genuine impact rather than matters that are trivial, inconsequential or purely theoretical.

Consumers would also be asked to explain how alleged poor service affected them. LeO said understanding the impact is important when deciding whether redress is appropriate and, if so, what form it should take. It said this is not intended to create an additional hurdle, but to help identify genuine detriment at an early stage and avoid unnecessary escalation.

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Another proposal would introduce a 12-year long-stop for complaints. LeO acknowledged that some legal service failings may only become apparent years later, such as an issue connected with a property purchase that emerges during a later sale. However, it said the proposed period is intended to address cases where the passage of time can make a fair investigation difficult, including situations where files have been destroyed, a service provider has closed or relevant people are no longer available.

The proposals would also retain support for people unable to use an online complaint form. While LeO said online forms can improve efficiency and consistency, it would continue to provide reasonable support or adjustments and accept complaints in alternative formats where appropriate.

LeO also confirmed that the right to request an ombudsman’s final decision would not be removed. Either party could still access a final decision where it is necessary and appropriate.

However, disagreement with an investigator’s findings alone would not be enough to require escalation under the proposed approach. A party requesting an ombudsman decision would need to explain the grounds, such as new evidence, a material error, procedural unfairness or a substantive dispute.

The consultation remains open until 2 September 2026. LeO said its proposed changes to case fees, Scheme Rules and publication of ombudsman decisions should be viewed as a connected package of reforms rather than separate initiatives.

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