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The Legal Ombudsman should swap the telephone for the internet as the main way it deals with the public and in doing so reflect the market it serves, according to the man likely to become chair of its oversight body, the Office for Legal Complaints.

Claims management companies are for the first time to face the prospect of fines for poor conduct such as spam texts, the government announced today as part of a series of measures aimed at toughening up their regulatory regime.

The Solicitors Regulation Authority has issued its first warning notice over the way personal injury firms are dealing with the referral fee ban. It highlights concerns that some solicitors are so busy ensuring they do not breach the ban that they are failing to consider their wider professional duties.

Primary legislation will be required to bring complaints against claims management companies within the remit of the Legal Ombudsman, the government has admitted for the first time.

The Legal Ombudsman has put around 10% of its staff at risk of redundancy as it undertakes a restructuring brought about by receiving fewer complaints than expected. It has been exacerbated by difficulties in transferring over the handling of complaints about CMCs.