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The Legal Services Board has launched a formal investigation into whether the Bar Council interfered with the independent regulation of barristers over controversial changes made to the cab-rank rule by the Bar Standards Board.

The Legal Services Board has criticised the Bar Standards Board’s failure to apply the cab-rank rule to public access work and said this omission will reduce the impact of rule changes that widen the scope for barristers dealing directly with clients.

The Bar Council has renewed its assault on the Legal Services Board by questioning its decision to spend thousands on academic research into the cab rank rule and intervening in the Prudential case – which it said was proof of “mission creep”.

The Law Society has urged solicitors to protect themselves against the new terms of business being introduced by the Bar next week because they are “weighted strongly” in favour of barristers. From 31 January the traditional default system of non-contractual terms will be replaced.

The cab-rank rule is ineffective and should be removed from the barristers’ code of conduct – and instead applied as a principle to all providers of legal services, including alternative business structures – a report published today has urged.