LSB sets out tougher oversight, enforcement and consumer protection priorities for legal regulators
The Legal Services Board has issued binding directions against the Solicitors Regulation Authority, ordering it to fix systemic weaknesses exposed by the collapse of Axiom Ince. A separate public censure and performance targets followed its handling of SSB Group. Both actions were confirmed in the LSB’s Annual Report and Accounts 2025–26, published this month.
Covering the period from 1 April 2025 to 31 March 2026, the report says the LSB increased its focus on ensuring legal regulators meet the standards expected under the Legal Services Act 2007 while responding to emerging risks affecting the profession and consumers.
In his foreword, Richard Orpin, who became the LSB’s Chief Executive during the reporting year, said the organisation had delivered a broad programme of work spanning regulatory oversight, enforcement and policy development. He said the LSB’s priority had been to protect consumers, support the rule of law and promote an effective legal services sector.
A key feature of the year was the LSB’s decision to strengthen regulatory oversight. The organisation confirmed it had taken formal enforcement action against the Solicitors Regulation Authority (SRA) following independent reviews into the regulation of Axiom Ince and SSB Group. The action included binding directions to address systemic weaknesses identified in the Axiom Ince case and a public censure, together with performance targets, arising from the SSB findings. The LSB also agreed voluntary undertakings with the Bar Standards Board (BSB) to address performance concerns identified through its regulatory performance assessment.
The report also introduces a new intelligence-led, risk-based approach to oversight regulation. According to the LSB, the revised model will allow resources to be focused on areas presenting the greatest risk while reducing unnecessary burdens on regulators that are performing well. The organisation said this approach is intended to improve both the efficiency and effectiveness of its oversight activities.
Beyond enforcement, the LSB outlined progress across several policy programmes. During the year it published its statutory policy statement on professional ethical duties, launched proposals aimed at encouraging a more diverse legal profession, issued guidance supporting the prevention and detection of economic crime, and continued work on technology, artificial intelligence and innovation within legal services. Research into consumer protection, access to justice and developments in the legal services market also formed part of its programme.
Looking ahead, the LSB said it will continue implementing its revised oversight model while considering the findings of the ongoing Public Bodies Review. The regulator said its future work will focus on proportionate, risk-based oversight, maintaining public confidence and ensuring legal regulation continues to serve consumers and the wider public interest.