SSB Law collapse: Government is taking 'more serious tone' over scandal, says Holly Lynch MP

Ms Lynch’s constituents were among hundreds of clients who instructed Sheffield firm SSB Law to claim on their behalf – but the firm went into administration in January. Many clients say they are being pursued by lawyers representing the insulation firms’ insurance companies for thousands of pounds in incurred costs.

During the debate, Ms Lynch said that, before Christmas last year, individuals received enforcement notices telling them they owed thousands of pounds in legal fees and, if they did not pay them, bailiffs would be coming to their homes. One bill was for £32,000. She told her fellow MPs that while “we have had some success in managing to get some of the enforcement notices paused, they hang over constituents like the sword of Damocles”.

In a letter to Ms Lynch, Mike Freer MP, Minister for Courts and Legal Services, acknowledged the seriousness of the problem and said it was crucial that talks to resolve it involved all relevant Government departments.

Ms Lynch said: “I’m pleased that this latest letter from the Minister demonstrates a much more serious tone than his previous correspondence.

"It has taken this Government far too long to understand the scale and severity of this scandal upon a scandal, however we need to keep pushing them to act rather than further paper shuffling between departments.”

In his letter, Mr Freer thanked Ms Lynch for championing the cause adding: “I understand the great deal of distress this situation is continuing to cause members of the public. This case is complex and has raised serious concerns about the current safeguards in place to protect consumers.”

Mr Freer said he had written to the Department for Energy Security and Net Zero, the Department for Levelling up, Housing and Communities and the Treasury to draw this issue to their attention and request close collaboration at both official and ministerial level.

He added: “I have also written to the Legal Services Board (LSB) as the oversight regulator for legal services regulation and have requested to meet with them to discuss the serious concerns raised and the regulatory response. The Solicitors Regulation Authority (SRA), as the body responsible for regulating the professional conduct of solicitors, as well as most law firms in England and Wales, has confirmed that it is carrying out an investigation into this issue.”

Given the sector’s independence, it was important that the Government does not undermine the SRA’s ongoing regulatory investigations, Mr Freer added.

He added: “ My officials, however, will continue to work closely with the LSB and SRA to monitor the situation.”

The Yorkshire Post has made efforts to contact the former directors of SSB via the Solicitors Regulation Authority and the administrators. The directors did not respond to our requests for comment.