Committee publication · Correspondence · 14 July 2026

Correspondence from Dr Monisha Shah, Chair of the Legal Services Board, dated 13 July 2026: Independent Review of the Legal Services Board

From: Justice Committee

Summary

Dr Monisha Shah, Chair of the Legal Services Board, informs the Justice Committee that the LSB has completed a Public Bodies Review conducted by Richard Lloyd. The LSB accepts responsibility for regulatory failures causing consumer detriment and commits to a 'major reset' involving sharper regulatory focus, risk-based oversight, separation of enforcement and policy functions, and replacement of its ten-year strategy with a focused three-year strategy announced in autumn 2026.

Key findings

  • Richard Lloyd's independent review has been published by the Ministry of Justice; the LSB accepts responsibility for regulatory failures resulting in significant consumer detriment
  • The LSB plans to separate its enforcement and oversight function from regulatory policy and engagement work
  • Current ten-year sector-wide strategy will be replaced with a focused three-year strategy to be consulted on in autumn 2026
  • The LSB will adopt a sharper regulatory focus and dynamic, risk-based approach to oversight, directing resources towards greatest consumer risk
  • The LSB acknowledges its pivotal role in maintaining trust and confidence in the legal services sector to support innovation, growth and access to justice

Tone

Procedural

Topics

legal-services-regulationconsumer-protectionpublic-bodiesaccess-to-justiceregulatory-reform

Key actors

Dr Monisha Shah, Andy Slaughter MP, Richard Lloyd, Richard Orpin, Ministry of Justice, Legal Services Board, Justice Select Committee

Notable line

Regulatory failures have resulted in significant consumer detriment. We accept our responsibility in the failure of the system to protect the interests of consumers.

Key Quotes

Regulatory failures have resulted in significant consumer detriment. We accept our responsibility in the failure of the system to protect the interests of consumers.
Dr Monisha Shah · accepting accountability following the independent review
"This report gives us a clear, independent basis for a major reset. We will introduce a sharper regulatory focus and a more dynamic, risk-based approach to oversight …
Dr Monisha Shah · outlining planned reforms following the review
The LSB has a pivotal role to play to ensure trust and confidence in the sector, which in turn supports innovation, growth and access to justice for consumers and businesses.
Dr Monisha Shah · describing the LSB's role in the legal services market
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Source · parliament.uk record ↗

Correspondence from Dr Monisha Shah, Chair of the Legal Services Board, dated 13 July 2026: Independent Review of the Legal Services Board | Beyond The Vote | Beyond The Vote