What has just happened?
BARBRI, the largest US provider of crammer courses for American state bar exams, has released a report last month condemning the high costs incurred by students in the legal education pathway here in Britain. The research conducted by 'Hook Tangaza' consultants suggests that the existing GDL/LPC route could be costing students on average £25,000 to £38,000 more than a new SQE scheme which is set to come into effect next year (1).
The SQE is a revamped route for students with a non-law degree. It is required for these students to acquire the knowledge needed to transition into the legal industry. The SQE is set to overhaul the more expensive GDL/LPC option available for these students.
'Hook Tangaza' noted that in 2019/20 the total market spend of students wishing to pursue a legal career was in excess of £164 million. The BARBRI report is a condemning look into the shortcomings of the current qualifying process.
What does this mean?
The report reveals that £21 million, or about 15 percent of the total fees for the GDL and LPC course are spent by students who never complete their qualification and ultimately need to change career paths.
Another alarming find was that 45 percent of those enrolled on the conversion course in the autumn of 2015 had not qualified as either solicitors or barristers by last year. Regulators were quick to condemn the existing educational system as overly complicated.
BARBRI, one of the first companies to show its support for the proposed SQE studies, said that it would allow for more transparency and open access to students from diverse backgrounds. The aim is to make learning more accessible and allowing students to space out their studies.
Despite many educational providers putting plans in place for the switch, this change has been met with stiff resistance. The Law Society, the body that represents 145,000 solicitors in England and Wales claims that the reforms will water down training and make the profession's standards slip.
It's the biggest shake-up in legal education in decades. The Solicitors' Qualification Examination (SQE) is set to change the way all solicitors qualify and may open up new oppotunities and promote further inclusivity.
To compound the situation, protectionist bodies at both universities and post-graduate law schools have a financial incentive in maintaining the status quo, with fees often in the course in excess of £11,600. (2)
The SQE is the brainchild of the Solicitors Regulation Authority, the watchdog for the profession in England and Wales. They claim that the reforms will be more efficient and fairer for students. with new fees for the two-part assessment totalling £3,980, which also includes training costs. BARBRI revealed that it would charge £6,000 for its courses to prepare students. When combined, the total is much more affordable than the current average cost of qualifying of £16,680 for those with a law degree and £25,705 for those without. (3)
How does this affect the legal sector?
The new exam aims to standardise and simplify the qualification process for those wanting to be a solicitor in England and Wales. It will apply to all those who wish to qualify in this jurisdiction, including practitioners qualified in other jurisdictions. Hook Tangaza calculated that employers could collectively expect to see training costs fall by £28m. The current spend of £35m for sponsored students is seen as an area that legal firms will be keen to reduce in the current COVID-19 hampered economy.
As well as increasing AI usage in the legal sector, the changes to the qualifying pathway could help struggling businesses retain and hire new talent. The SQEs also allows the possibility that students with a degree or equivalent can qualify as solicitors without seeing the inside of a physical or remote university lecture hall. (4)
On the flip side, these latest developments could result in a reduction in 'industry standards' and leaves open the profession to more cases of professional negligence. This also could transpire in many more law graduates struggling to find a foot in a market that some say is already oversaturated.
Written by Jessie Mahal
Assessing Firms:
All law firms, with a focus on their HR/ training departments
References:
1. Hilborne, N., 2020. Students “Could Save Up To £38K” By Qualifying With SQE - Legal Futures. [online] Legal Futures. Available at: <https://www.legalfutures.co.uk/latest-news/students-could-save-up-to-38k-by-qualifying-with-sqe> [Accessed 23 October 2020].
2. Ames, J., 2020. Students Are Wasting Over £20M On Law Courses. [online] Thetimes.co.uk. Available at: <https://www.thetimes.co.uk/article/students-are-wasting-over-20m-on-law-courses-lr33jhm37> [Accessed 23 October 2020].
3. Connelly, T., 2020. Ulaw Reveals First Details Of SQE Prep Course And Masters Options - Legal Cheek. [online] Legal Cheek. Available at: <https://www.legalcheek.com/2020/02/ulaw-reveals-first-details-of-sqe-prep-course-and-masters-options/> [Accessed 23 October 2020].
4. Moffatt, P. and Homewood, M., 2020. What The SQE Means For Law Firms. [online] Law Gazette. Available at: <https://www.lawgazette.co.uk/features/what-the-sqe-means-for-law-firms/5103351.article> [Accessed 23 October 2020].
Disclaimer: This article (and any information accessed through links in this article) is provided for information purposes only and does not constitute legal advice.