Legal Ombudsman to consult on strategy amid rising complaint demand

The Legal Ombudsman (LeO) will launch a consultation next week on a new strategy to reform its services. The move comes as demand for the service significantly outpaces its current capacity.

A recent half-year update revealed that the LeO received over 8,700 complaints, representing a 31% increase compared to the same period last year. The service predicts receiving nearly 18,000 new complaints in the coming year, while its current model is limited to approximately 15,000 resolutions annually. The LeO described this gap as “not sustainable”.

Supported by Deloitte, a Scheme Transformation Review is underway to examine the operating model. Proposed changes include revisions to Scheme Rules, case fees, and the publication of final decisions. These measures aim to improve first-tier complaint handling and rebalance cost distribution.

Data shows that 45% of accepted complaints focus on communication issues and delays. Additionally, approximately one in four consumers reported that their provider failed to provide a final response before they contacted the Ombudsman.