The Government recognises the importance of protecting vulnerable and elderly consumers from harm when purchasing complex legal products. This includes Family Protection Trusts, also known as Asset Protection Trusts, which are a form of Discretionary Trust or Interest in Possession Trust.

The legal profession in England and Wales, together with its regulators, operates independently of Government. Responsibility for regulating the sector sits with approved regulators, overseen by the Legal Services Board. The Solicitors Regulation Authority (SRA) is responsible for regulating the professional conduct of solicitors and most law firms in England and Wales. The SRA’s standards and guidance require solicitors to act in clients’ best interests and to take particular care where clients may be vulnerable, including considering capacity and the appropriateness of taking instructions.

Since 2021, the SRA has continued to strengthen its risk-based, proactive approach to identifying and addressing consumer harm, including where clients may be vulnerable. For example, alongside work to improve how it uses data and intelligence to spot risks more swiftly, it has:

• published research on consumer vulnerability in the legal market, including how vulnerability might be measured and monitored, which is available here: https://www.sra.org.uk/sra/research-publications/consumer-vulnerability-legal-market/;
• provided tailored information and support for vulnerable consumers on engaging with legal services and raising concerns, which is available here: https://www.sra.org.uk/vulnerable-consumers/; and
• launched a consumer protection review, which includes consideration of vulnerability, further details of which are here: https://www.sra.org.uk/home/hot-topics/consumer-protection-review/.

The Financial Conduct Authority also issued a warning about Asset Protection Trust Schemes in April 2023 specifically advising anyone considering entering such a scheme to seek independent legal advice to ensure that the Trust will actually work to deliver the intended protection of assets, as well as independent financial advice to validate any proposed strategy for investing assets before agreeing to put any money, property or assets into such a Trust scheme.

The Government recognises the financial loss, distress and uncertainty experienced by former clients affected by the collapse of WW&J McClure Ltd (McClure), particularly in relation to family protection trusts and wider estate planning arrangements.

The legal profession in England and Wales, together with its regulators, operates independently of government. Responsibility for regulating the sector sits with approved regulators, overseen by the Legal Services Board (LSB). The Solicitors Regulation Authority (SRA) is responsible for regulating the professional conduct of solicitors and most law firms in England and Wales. This includes McClure, as well as Jones Whyte which took on the work in progress and certain assets of McClure when it went into administration in April 2021. The SRA regulates the firms’ activities in England and Wales, with matters relating to their Scottish offices falling under the Law Society of Scotland. Details of the SRA’s ongoing work in relation to McClure is available here: https://www.sra.org.uk/news/news/mcclure/.

With regards to asking the SRA to meet representatives of former clients of McClure, given regulatory independence, the Ministry of Justice does not direct the SRA’s stakeholder engagement. However, I have discussed the impact of the firm’s collapse with the SRA and know that the SRA is continuing to meet with various stakeholders, including those representing former clients.

Any warning signs relating to McClure prior to the firm’s collapse, and when these were identified by legal services regulators, are similarly operational matters for the independent SRA. The Ministry of Justice does not hold this information.

In relation to successor firm requirements, SRA guidance for firms is available here: https://www.sra.org.uk/solicitors/guidance/closing-down-your-practice/. Under the SRA’s framework, its assessment is that Jones Whyte is not a successor practice. However, the firm must make sure it complies with a range of obligations, including those which have been set out in a compliance plan which the firm has agreed and on which the SRA is monitoring progress. This includes secure handling and storage of client papers and documents, and appropriate arrangements for file distribution and advice to impacted clients on their options.

With regard to changes to legal services regulation since the collapse of McClure, there has been continued work to strengthen how risks to consumers are identified and addressed. The SRA’s Corporate Strategy 2023-26 includes strengthening risk based and proactive regulation as a strategic priority and it has pursued action in this area. For example, in its recent Business Plan, the SRA sets out the steps it has taken to improve how it uses data and intelligence to spot risks more swiftly and take action to manage them effectively. The SRA has also indicated that it is accelerating this work, including through further investment in people and technology. In addition, the SRA is implementing changes in response to the LSB’s independent reviews of its regulation of Axiom Ince Ltd and SSB Group Ltd.

The Ministry of Justice keeps the statutory framework set by the Legal Services Act 2007 under review to ensure that it is operating effectively and protects consumers. The Government has no current plans to review the regulation of estate planning and trust-selling practices. The Department's focus is on improving the enforcement of existing rules.

The Government recognises the financial loss, distress and uncertainty experienced by former clients affected by the collapse of WW&J McClure Ltd (McClure), particularly in relation to family protection trusts and wider estate planning arrangements.

The legal profession in England and Wales, together with its regulators, operates independently of government. Responsibility for regulating the sector sits with approved regulators, overseen by the Legal Services Board (LSB). The Solicitors Regulation Authority (SRA) is responsible for regulating the professional conduct of solicitors and most law firms in England and Wales. This includes McClure, as well as Jones Whyte which took on the work in progress and certain assets of McClure when it went into administration in April 2021. The SRA regulates the firms’ activities in England and Wales, with matters relating to their Scottish offices falling under the Law Society of Scotland. Details of the SRA’s ongoing work in relation to McClure is available here: https://www.sra.org.uk/news/news/mcclure/.

With regards to asking the SRA to meet representatives of former clients of McClure, given regulatory independence, the Ministry of Justice does not direct the SRA’s stakeholder engagement. However, I have discussed the impact of the firm’s collapse with the SRA and know that the SRA is continuing to meet with various stakeholders, including those representing former clients.

Any warning signs relating to McClure prior to the firm’s collapse, and when these were identified by legal services regulators, are similarly operational matters for the independent SRA. The Ministry of Justice does not hold this information.

In relation to successor firm requirements, SRA guidance for firms is available here: https://www.sra.org.uk/solicitors/guidance/closing-down-your-practice/. Under the SRA’s framework, its assessment is that Jones Whyte is not a successor practice. However, the firm must make sure it complies with a range of obligations, including those which have been set out in a compliance plan which the firm has agreed and on which the SRA is monitoring progress. This includes secure handling and storage of client papers and documents, and appropriate arrangements for file distribution and advice to impacted clients on their options.

With regard to changes to legal services regulation since the collapse of McClure, there has been continued work to strengthen how risks to consumers are identified and addressed. The SRA’s Corporate Strategy 2023-26 includes strengthening risk based and proactive regulation as a strategic priority and it has pursued action in this area. For example, in its recent Business Plan, the SRA sets out the steps it has taken to improve how it uses data and intelligence to spot risks more swiftly and take action to manage them effectively. The SRA has also indicated that it is accelerating this work, including through further investment in people and technology. In addition, the SRA is implementing changes in response to the LSB’s independent reviews of its regulation of Axiom Ince Ltd and SSB Group Ltd.

The Ministry of Justice keeps the statutory framework set by the Legal Services Act 2007 under review to ensure that it is operating effectively and protects consumers. The Government has no current plans to review the regulation of estate planning and trust-selling practices. The Department's focus is on improving the enforcement of existing rules.

The Department has not made such an assessment. However, in 2024, the Competition and Markets Authority (CMA) undertook a review into loyalty pricing in the groceries sector, publishing their findings in November 2024. The CMA found that shoppers who are members of a loyalty scheme can almost always make a genuine saving on the usual price by buying loyalty priced products. This should give shoppers confidence that they are not being treated unfairly. The CMA analysed around 50,000 grocery products on a loyalty price promotion and found very little evidence of supermarkets inflating their ‘usual’ prices to make loyalty promotions seem like a better deal.

In addition, shoppers without a loyalty scheme membership are generally paying the same price during the loyalty price promotion as they do in the weeks both before and after loyalty price promotions. However, the CMA found several loyalty priced products which were significantly more expensive than the cheapest price available at other supermarkets at that time, so there is value in shopping around.

In 2024, the Competition and Markets Authority (CMA) undertook a review into loyalty pricing in the groceries sector, publishing their findings in November 2024. The CMA found that shoppers who are members of a loyalty scheme can almost always make a genuine saving on the usual price by buying loyalty priced products. This should give shoppers confidence that they are not being treated unfairly.

The CMA analysed around 50,000 grocery products on a loyalty price promotion and found very little evidence of supermarkets inflating their ‘usual’ prices to make loyalty promotions seem like a better deal.

In addition, shoppers without a loyalty scheme membership are generally paying the same price during the loyalty price promotion as they do in the weeks both before and after loyalty price promotions. However, the CMA found several loyalty priced products which were significantly more expensive than the cheapest price available at other supermarkets at that time, so there is value in shopping around.

In 2024, the Competition and Markets Authority (CMA) undertook a review into loyalty pricing in the groceries sector, publishing their findings in November 2024. The CMA found that shoppers who are members of a loyalty scheme can almost always make a genuine saving on the usual price by buying loyalty priced products. This should give shoppers confidence that they are not being treated unfairly.

The CMA analysed around 50,000 grocery products on a loyalty price promotion and found very little evidence of supermarkets inflating their ‘usual’ prices to make loyalty promotions seem like a better deal.

In addition, shoppers without a loyalty scheme membership are generally paying the same price during the loyalty price promotion as they do in the weeks both before and after loyalty price promotions. However, the CMA found several loyalty priced products which were significantly more expensive than the cheapest price available at other supermarkets at that time, so there is value in shopping around.

In 2024, the Competition and Markets Authority (CMA) undertook a review into loyalty pricing in the groceries sector, publishing their findings in November 2024. The CMA found that shoppers who are members of a loyalty scheme can almost always make a genuine saving on the usual price by buying loyalty priced products. This should give shoppers confidence that they are not being treated unfairly.

The CMA analysed around 50,000 grocery products on a loyalty price promotion and found very little evidence of supermarkets inflating their ‘usual’ prices to make loyalty promotions seem like a better deal.

In addition, shoppers without a loyalty scheme membership are generally paying the same price during the loyalty price promotion as they do in the weeks both before and after loyalty price promotions. However, the CMA found several loyalty priced products which were significantly more expensive than the cheapest price available at other supermarkets at that time, so there is value in shopping around.

The Secretary of State has not specifically discussed schemes that offer lower prices in exchange for consumer data with the Information Commissioner or his officials.

Ofcom’s principal duty, established by the Communications Act 2003, is to further the interests of citizens and consumers, and Ofcom sets its regulatory framework to promote good outcomes for consumers, in line with this duty.

For telecoms, Ofcom has a duty to set General Conditions with which communications providers must comply. These are published on Ofcom’s website and include conditions on complaints handling and dispute resolution. In addition to this, for example, Ofcom has introduced requirements to send end-of-contract notifications and published guidance to help providers support vulnerable consumers. Ofcom also publishes the Comparing Customer Service (CCS) report to show how customer service levels compare across the telecoms industry.