SRA accounts rules – February 2025 update

The aftermath of the Axiom Ince intervention has reignited debate over whether solicitors should hold client money at all. Meanwhile, the ‘new’ SRA Accounts Rules continue to offer relaxations—though perhaps only for a limited time.

With the SRA adopting a more assertive regulatory stance, firms are facing increased scrutiny and fines, particularly for breaches of Rule 3.3 and the improper use of banking facilities. Recent updates to guidance highlight the systems and procedures firms should implement to remain compliant, but some proposed changes have been delayed indefinitely, adding uncertainty to an already challenging landscape.

This webinar will explore the key compliance measures you need to be aware of and how to mitigate risks in light of the expanded fining powers.

Topics covered include:

• An outline of the current rules
• The key developments
  • How do we describe ‘disbursements’ in our bills?
  • Are we charging the right VAT?
  • Dealing with residual balances on client account ledgers
  • Offering of banking facilities – case studies and examples
• Recent enforcement actions and penalties
• Reconciliations – what, who and how?
• Duties of the COFA
• What should our relationship be with our reporting accountants?
• Key checklists and benchmarks