Law Society Shocked By Carter Research

Risk of Serious Disruption to Legal Aid Services
Law Society Press Release
26 September 2006
A new, independent economic analysis of the impact of the Carter
proposals on criminal legal aid warns that more than 800 legal
aid firms could be forced out of business – double the number
predicted by Lord Carter.  The LECG report (PDF, 257kb) cautions
that after years of restricted rates and limited profits the
supplier base is fragile. Criminal legal aid firms are at best
marginally profitable. Typical profits, allowing for all costs,
range from only 2% down to about -6%, a significant loss.