Newsletter – May 2024

From the CEO

This month we published our second Annual Risk Outlook for the profession. Our aim is to help you think critically about what’s coming down the track and plan strategically for the future of your career and wider business. We encourage all Costs Lawyers to take a look and consider what the various developments, risks and opportunities highlighted in the report mean for you and your clients.

The report identifies current drivers of change that are outside the CLSB’s control as a regulator, but which could impact Costs Lawyers’ ability to deliver services to clients in a way that meets their needs. The sources of risk identified in the report are grouped into three broad categories: political, economic and social. Sometimes referred to as “system risks”, these sources of risk mould and shape the costs law market from the outside.

Businesses, individual practitioners and regulators all need to consider the likely impact of these drivers on their activities, and put measures in place to mitigate any negative impacts that might arise. They are risks that you should take into account when planning for the future, being mindful of your own practising arrangements, specialist areas and existing competencies. There will no doubt be other factors and risks that could impact your specific practice, and we hope the report gets you thinking about what those might be.

This is also a good context in which to consider what new skills and knowledge you might need in the coming years to continue to thrive as a Costs Lawyer. Examples of possible gaps in competency relating to the risks and opportunities in the report include:

  • Understanding how to use new technologies and systems, and the risks associated with them
  • Appreciating the changing needs of clients and how to address them
  • Adapting organisational management to changing workplace expectations
  • Grasping how new regulatory and ethical obligations apply to specific practising arrangements
  • Having sufficient technical knowledge of emerging work areas to spot issues, give sound advice and build relevant specialisms

The CLSB’s Ongoing Competency Framework delves deeper into some of these skill areas.

If you would like to discuss any of the developments or risks identified in the Annual Risk Outlook, please contact us.

Kate Wellington

CEO

Regulatory News

New Costs Lawyer Code of Conduct

The new Costs Lawyer Code of Conduct came into force in April. Adherence to an ethical code is an important factor that sets Costs Lawyers apart from unregulated advisers, and the updated Code ensures our requirements for professionalism remain in line with the expectations of clients, employers and the courts. It also enshrines independence as a core ethical principle within the profession for the first time.

We are now developing a new Ethics Hub to help Costs Lawyers navigate common ethical problems. This will be launched in the spring, bringing the new Code of Conduct to life.

Update on Costs Lawyer eligibility for judicial appointment

With thanks to everyone who completed our survey earlier this year, we have now developed a portfolio of evidence supporting our case for making Costs Lawyers eligible for judicial roles. Our evidence was submitted to the Ministry of Justice earlier this month and will be put forward for ministerial approval with the aim of legislative change.

For more information about our work on this issue, and what we expect to happen next, see the Spotlight article in this month’s newsletter by our Director of Policy, Lori Frecker.

Free webinar: Let’s talk about the billable hour

Join colleagues from LawCare for a lively debate about the billable hour on Thursday 16 May 2024, from 12:30 to 1:30. Sign up here before the event. The webinar won’t only focus on the well-known challenges of hourly billing, but will instead explore actionable strategies for effecting change.

The webinar panel will explore the pros and cons of the billable hour, its impact on legal culture, its effect on client relationships and mental health, and how it can hinder access and progression within the profession.

Lessons from the latest CPD audit

The CLSB carries out an annual CPD audit as part of its wider supervision programme. Our lessons learned webpage highlights issues arising from our audits and now includes feedback from the 2023 CPD year. The webpage aims to help all Costs Lawyers learn from our findings and get the most from their annual CPD activities. We have also updated our template for planning and recording CPD to take the latest audit findings into account.

Key lessons relate to: planning CPD at the start of each year; keeping good records; being specific when setting CPD objectives; and engaging constructively with an audit. Get more information about planning your CPD and complying with the CPD Rules on our website.

Diversity: how the Costs Lawyer profession compares

We have published a new report, Diversity in the profession in 2023, which compares diversity amongst Costs Lawyers with diversity in the solicitor profession and the wider population.

The report shows that our profession is outperforming the solicitor profession on some indicators of diversity, such as social mobility and disability, but there is an under-representation of other groups, including certain ethnic groups. The report also includes a summary of what we’re planning to do next to interrogate our data and create a regulatory environment that fosters diversity and inclusion. If you’re interested in helping to promote diversity in the profession, please get in touch.

Annual Risk Outlook for Costs Lawyers

We recently published our 2024 Annual Risk Outlook for Costs Lawyers. The report takes a high-level look at some of the drivers of change in the world today that could present risks – and opportunities – for organisations and individuals working in legal costs.

This is the second time the CLSB has published an Annual Risk Outlook and we would welcome your feedback to help us refine our approach in future years. Please send any comments to [email protected]. See the message above from the CEO for more information about this work.

Spotlight on… making Costs Lawyers eligible for judicial roles

In this newsletter, we turn our spotlight on the CLSB’s recent work to make Costs Lawyers eligible for judicial appointment. Lori Frecker, Director of Policy at the CLSB, explains how and why we have submitted evidence to the Ministry of Justice and what to expect next.

“Have you ever thought about becoming a judge? It’s an appealing career option for many lawyers. Becoming a judge is an opportunity to apply your legal expertise in different ways, develop new skills and knowledge, and help make a difference to the lives of others. At the moment Costs Lawyers are not eligible to apply for judicial roles. The CLSB is working to change that.”

Read More

Up and Coming…

Expect more from us shortly on:

  • A new Ethics Hub for Costs Lawyers
  • Lessons from this year’s audit of complaints procedures
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