Select committee: Public Accounts Committee

Recommendation 5

59th Report - Ministry of Justice follow-up: Autumn 2025 Published 7 Jan 2026 Addressed to HM Treasury
Recommendation (the committee's words)
We remain unconvinced that MoJ has put in place sufficient measures to ensure the future sustainability of the legal aid market. In its 2024 report, this Committee raised concerns that while MoJ was undertaking large scale reviews of both criminal and civil legal aid it had not put in place mechanisms to routinely review the profitability of legal aid fees. MoJ has since committed to increasing legal aid fees for housing and immigration but it has not yet implemented these uplifts. Further, fees for other areas of civil legal aid, which have not increased since 1996, remain under review. Even after these commitments, organisations such as the Law Society remain concerned that these uplifts are insufficient to tackle the long-term sustainability of the market. LAA is exploring what it can do to reduce the administrative burdens on providers and has made entry into the market 5 for providers easier. However, there remains no mechanism in place for routinely reviewing the profitability of all types of legal aid. While we accept MoJ’s argument that setting legal aid fees is a decision for Ministers, regular reviews of profitability and sustainability would provide Ministers with the information they need to make informed decisions. recommendation Although Ministers are responsible for setting legal aid fees, the Ministry of Justice should better support them by routinely reviewing profitability and sustainability for all types of legal aid. It should set out its plans to do this in its Treasury Minute Response.

From: Public Accounts Committee, 59th Report - Ministry of Justice follow-up: Autumn 2025 (HC 1240), 7 January 2026

Government response

The government responded to the whole report on 1 April 2026 (deadline 7 March 2026).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government states that it "agrees with the Committee's recommendation" on each of the recommendations in the response, reporting some as implemented and giving target dates for others.

  • On Dartmoor, HMPPS has reviewed its handling of the lease negotiations and identified areas of learning. MoJ and HMPPS will write to the Committee "once the proposed approach to remediating Dartmoor has been decided", with a target date of June 2026.
  • On access to legal aid for the digitally excluded, an Ipsos civil demand feasibility study will report by the end of March 2026. The department will report back to the Committee on progress in October 2026.
  • On market sustainability, the department will "explore options to routinely monitor the profitability of legal aid firms" and update the Committee in October 2026. Any future policy decisions will be "in the context of the department's spending review settlement".
  • On the cyberattack, MoJ and LAA say lessons have already been shared across government. MoJ states that it "has allocated funding to the transformation of LAA systems over the 2026-2029 period".

Read the government's response ↗ Report an error