Partner Louise Nelson, in our Wills, Probate Tax & Trusts team, looks at what the Competition and Markets Authority (CMA) has said about Unregulated Will Writers.
The CMA is an independent, non-ministerial, government department and the principal competition and consumer protection authority in the UK.
It recently offered a warning in relation to the growing number of unregulated Will writers operating in the UK and the large number of individuals relying on the services of such providers.
The CMA is seeking to eliminate poor practices, including forceful upselling, refusing to process refunds and failing to deal with complaints. It has issued guidance to seven unnamed firms and published an open letter to the unregulated legal services sector, which you can read via the gov.uk website here.
What is a regulated firm?
A firm of solicitors like Blandy & Blandy is regulated by the Solicitors Regulation Authority, which requires firms to adhere to strict standards and codes of conduct.
When choosing to use a firm of solicitors, you will be advised by qualified lawyers or experienced advisers working under their supervision. Using a regulated firm means that you will be firmly protected and have the right to legal recourse if there are any errors in your Will or another issue were to arise. Unregulated Will writers may not be professionally qualified or subject to the same oversight, and you may not have the same protections should anything go wrong.
In addition to being a regulated firm of solicitors, Blandy & Blandy is accredited by the Lexcel scheme, operated by The Law Society, which recognises firms that achieve excellence in legal practice management and client care.
Blandy & Blandy is also recognised as a top ranked firm in the UK’s leading guides to the legal profession, Chambers HNW Guide and The Legal 500.
Choosing a provider
The CMA has published a new consumer guide for people looking to make a Will, available via the gov.uk website here. It focuses on ‘your options when choosing a Will writer’, 'what to keep in mind when buying a Will writing service' and 'potential sources of help if things go wrong after your purchase'.
In its guidance on unregulated Will writers, the CMA says: 'It is crucial they understand and comply with their consumer protection obligations' and that 'People buying these services need to be sure they are getting a fair deal.'
The CMA continues: 'With the CMA set to receive stronger enforcement powers from next spring, if concerns are not addressed, the businesses could face a formal investigation.'
Hayley Fletcher, Interim Senior Director for Consumer Protection at the CMA, said: “Those offering these types of legal services often meet their customers at some of the most challenging times in life, so it’s particularly important that a difficult time is not made harder by misleading or unfair practices.”
What are the risks of using an unregulated Will writer?
A poorly drafted Will, or a Will containing errors, could result in your estate not being administered with in line with you wishes and potentially expose your loved ones to issues including not inheriting as you intended, additional costs. significant delays or a dispute.
Sarah Manuel, head of professional standards at STEP (Society of Trust and Estate Practitioners), of which several of the solicitors in Blandy & Blandy’s Wills, Probate, Tax & Trusts team are members, said: “We fully support the efforts to caution unregulated providers and introduce stronger enforcement powers. We also welcome advice to the public about what to consider when buying will writing services.
Anyone can set themselves up as a Will writer and bad advice can cause significant distress, leaving grieving families to deal with the financial and emotional consequences.
We hear all too often from the public and our members about the financial and emotional impact of poor advice from dishonest, unqualified and incompetent Will writers.”
A 2003 survey of STEP members found that 79% of respondents have come across cases of Wills with errors, 63% have encountered cases where a Will writing company has quoted a fee for writing a Will but then charged additional costs not covered within the terms of business and 54% have experienced firms making false claims about the Wills they are selling to clients.
The significant risks of using pre-paid probate services are also outlined in the CMA’s new guide.
The CMA says: 'Consumers are cautioned to think carefully before buying pre-paid probate plans as they come with significant consumer protection risks, including that the company could cease trading before the consumer's death.'
The Financial Conduct Authority has previously offered a similar warning, saying: 'We strongly advise that you consider carefully whether these products meet your needs and offer value before buying as there are no regulatory protections in place for you.'
Ensuring that your estate in administered as you intended upon your death and that your loved ones’ interests are properly protected is likely to be an issue of great importance and financial significance to you and your family. It is therefore advisable that you seek suitable legal advice from an experienced and qualified professional when preparing your Will, to ensure that matters are correctly taken care of and to provide the peace of mind that comes from being confident that this is the case.
Our Wills, Probate, Tax & Trusts team can provide expert advice on Wills and estate planning, including in relation to trusts and lifetime tax planning.
For further information or legal advice, please contact law@blandy.co.uk or call 0118 951 6800.
This article is intended for the use of clients and other interested parties. The information contained in it is believed to be correct at the date of publication, but it is necessarily of a brief and general nature and should not be relied upon as a substitute for specific professional advice.
