Solicitors Regulation Authority: SRA to be investigated over its actions regarding SSB Law - as Burnley and Pendle homeowners face devastating legal bills

Numerous residents face up to tens of thousands in legal costs despite being reassured by SSB Law throughout their case that it was on a “no-win, no-fee” basis. Some say the law company used “scare tactics” to keep them in, then encourage them to drop claims.

The Legal Services Board (LSB) has today announced plans to investigate why the Solicitors Regulation Authority (SRA) did not take further action against SSB Law before it collapsed in January.

An LSB spokesperson said: “The Legal Services Board has announced an independent review of the Solicitors Regulation Authority’s regulatory actions in the lead-up to the collapse of SSB Group. The LSB will add this review to the scope of its current review into regulatory events prior to SRA’s intervention into Axiom Ince (announced in December 2023). The additional terms of reference will be published shortly. It remains the aim to report on Axiom in spring 2024, with the review in relation to SSB Group and overall learning and conclusions being reported in the summer.

“Given the considerable consumer detriment, the board believes that it is important to understand the regulatory events in relation to both firms. Learning from these cases will be vital for public and professional confidence.

“The LSB will continue to partner with the law firm Carson McDowell to carry out the reviews.”

Numerous homeowners say SSB Law encouraged them to seek compensation for shoddy cavity wall insulation after a Government decarbonisation scheme went wrong and caused mould and damp in their homes.

Judges ruled before the law firm's collapse in January that it had abused the court process in some cases by relying on evidence from an expert with questions over his independence, and understating the claims’ value and failing to pay increased issue fees.

Despite this, it’s understood the SRA investigated the firm last year but did not find evidence that regulatory action was needed.

As part of our own investigation into the cavity wall insulation scandal, the Burnley Express asks whether judicial system reforms are required so that the SRA is immediately alerted when judges rule that law firms have acted improperly.