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(From Post Magazine)
Byline: Tanya Powley.
Insurers and brokers have moved one step closer to being allowed to buy or set up law firms, following the publication of the draft Legal Services Bill last week.
The draft bill sets out arrangements to facilitate alternative business structures, which would allow lawyers and non-lawyers to work together on an equal footing.
In a written ministerial statement, Secretary of State for Constitutional Affairs Lord Falconer said: "These structures will allow legal services to be delivered in new ways, promoting greater competition and innovation and enabling providers to better respond to the demands of consumers."
The bill has also proposed the creation of an independent oversight regulator - the Legal Services Board - which will regulate both the Law Society and Bar Council.
Capita and Norwich Union subsidiary RAC have shown interest in the proposals. A spokeswoman for Capita said: "Capita welcomes the ability for entrants to join the market and provide volume legal services in ...