Independent review says information about PM Law was not brought together effectively
The Solicitors Regulation Authority (SRA) missed opportunities to identify problems at PM Law earlier, an independent review into its handling of the firm has found.
The review by Jenner & Block LLP examined the events leading up to the SRA’s intervention into the PM Law Group in February 2026.
It found that the regulator failed to aggregate information it held about the firm, limiting its ability to identify emerging issues. Decisions were also made using incomplete information and in the face of a risk that was more serious than individual decision-makers were able to appreciate.
The review also found that capacity constraints across the SRA limited its ability to respond to emerging risks as quickly as it should have.
However, the report said operational staff were generally skilled, dedicated and collegial.
The SRA said many of the missed opportunities resulted from structural gaps in its systems and controls. These were already the subject of reforms at the time of the PM Law intervention, although those reforms were incomplete.
SRA Board Chair Anna Bradley said the report made for “difficult reading” and said the regulator was particularly sorry for the impact on former clients of the firm.
She said the Board was disappointed that opportunities to act sooner had been missed and that the findings showed the SRA had further work to do on its regulatory reforms.
SRA Chief Executive Sarah Rapson said the regulator’s focus was on protecting consumers affected by criminal conduct and supporting them.
She also said the case highlighted the limitations of a regulatory model that relies too heavily on enforcement after harm has occurred. The SRA said it wanted to move towards a more proactive approach to identifying and addressing risks.
The regulator identified three areas for further reform following the PM Law intervention: client money, a proactive and data-driven approach to risk, and organisational capacity and ways of working.
On client money, the SRA said it had introduced new rules on compliance roles and accountants’ reports and had consulted on collecting more timely information from firms to help identify risks earlier.
The regulator is also developing an intelligence and data-driven approach intended to bring available information together so decision-makers can see the wider risk picture.
A separate independent assurance review by the Berkeley Partnership examined the SRA’s compliance with Section 32 Directions issued by the Legal Services Board in May 2025 following the closure of Axiom Ince.
The Berkeley Partnership found that the SRA had made substantial and timely progress. Of the 60 implementation steps in its Action Plan, 80% were assessed as fully met, while the remaining 20% were identified as future actions or partially met.
The review nevertheless said further work was needed to implement policy changes and achieve the outcomes required by the Directions.