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UK SME boutique firms lobby SRA and Law Society over COLP/COFA separation rules

By LexCircuit Desk · · AI-drafted, human-reviewed

Twenty-eight firms in a new SME & Boutique Law Firm Alliance sent open letters to the Solicitors Regulation Authority and the Law Society on September 8, 2026 seeking changes to LSB-approved rules separating compliance officer roles. The rules stop individuals who can unilaterally control a firm from serving as COLP or COFA where turnover exceeds £600,000 or client money exceeds £2 million, from January 2027. The alliance wants the start postponed.

Text (Legal Futures) → · Solicitors Regulation Authority

Key points

  • Twenty-eight firms in a new SME & Boutique Law Firm Alliance sent open letters to the SRA and the Law Society.Legal Futures
  • Letters seek delay of Jan 2027 start, evidence-based risk threshold, published evidence, and waiver mechanism.Legal Futures
  • Rules bar unilateral managers as COLP/COFA above £600k turnover or £2m client money (LSB-approved).Legal FuturesSolicitors Regulation Authority
  • Legal Futures said the SRA estimates about 1,660 firms (18%) and 431 sole owner-manager firms may need to act to comply.Legal Futures
  • The SRA's Aileen Armstrong said the restriction targets individuals who can unilaterally control a firm's decision-making.Legal FuturesSolicitors Regulation Authority

Sources2 articles across 2 outlets

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Filed under

RegulationUKSRA Authorisation of Firms Rules — COLP/COFA separationComplianceProfessional responsibilityRegulatoryFor practitionersFor governance