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The Ministry of Justice has announced huge increases in the regulation fees paid by claims management companies. The MoJ said that despite the drop in the number of firms, regulation could not be similarly scaled back.

The Legal Ombudsman has recruited a team of 30 to deal with the thousands of complaints about claims management companies it will receive from today, it has emerged.

Tariq Rehman, the barrister who last month became the first lawyer to be ‘named and shamed’ by the Legal Ombudsman for a series of complaints, has been banned from taking on any new public access cases for the time being.

There is scope for the Legal Ombudsman (LeO) to offer redress to third parties, as long as the complaints involved could be “clearly and tightly defined”, a report by a LeO working party has found.

Ian Brack, formerly chief executive and chief accounting officer of the Olympic Lottery Distributor, has been appointed interim chief executive of the Legal Ombudsman in succession to Adam Sampson after his resignation last month.