The Council for Licensed Conveyancers (CLC) has responded to criticism from the Legal Services Consumer Panel, defending its regulatory approach and emphasising that a BBC Panorama investigation last year exposed issues with unregulated estate agents rather than conveyancers.
The dispute centres on the panel’s recently published report, ‘A Regulatory Framework for the Future’, which examined the performance of legal services regulators and raised concerns about aspects of the CLC’s approach.
Regulatory jurisdiction questioned
Sheila Kumar, CEO of the CLC, said the regulator was “extremely disappointed” with what it described as an inaccurate representation in the panel’s report. She clarified that the Panorama investigation highlighted wrongdoing by unregulated estate agents, not conveyancers, but that the CLC nevertheless chose to examine the issue within its regulatory mandate.
“It is perhaps notable that we were the only regulator of conveyancing to do this,” Kumar stated. The CLC defended this decision as evidence of proactive regulation focused on public interest, despite the issues falling outside its direct remit.
Call for estate agent regulation
The CLC has renewed its call for statutory regulation of estate agents to strengthen consumer protection. The regulator said it has identified areas where it can enhance transparency and consumer protections in its code whilst broader regulatory changes are being considered.
The Legal Services Consumer Panel’s report also questioned the CLC’s recruitment of regulated firms. Kumar responded that conveyancing and probate firms benefit from the CLC’s focused regulation and high entry standards for both individuals and practices.
“The Legal Services Act was designed to give both a choice and the CLC is simply demonstrating that it is a good choice to make,” she said. The regulator noted its involvement in home-buying reform work as evidence of its specialist approach.
The exchange highlights ongoing tensions between consumer advocacy groups and professional regulators in the property sector, similar to recent debates over regulatory changes affecting other areas of the market.
