Legal Services Bill [HL]

My noble friend may recall that I said some while ago in answer to the noble Lord, Lord Kingsland, that there are real problems with piloting an approach where we are trying to allow business to flourish—not least because it could be anti-competitive. We were looking at how to approach in a cautious way the development of alternative business structures. We could pilot it, but then you run into the problems I indicated in my previous discussions, as my noble friend will remember. If you say that a pilot means that the first 20 firms to apply get it, what will that do for the quality of the applications of the first 20 firms? Surely, those who wish to will rush forward and say, ““We want it because the potential is enormous””. How do you then deal with the fact that you have allowed those firms to come forward and not others, bearing in mind that we no longer have a geographical locality for business? Because of the internet and other means you can have a nationwide approach, which could make the difference. Or do you take a sectoral approach and say that companies involved in this sector are allowed to become alternative business structures and move in on the market? I have real difficulties with how one could do that. A cautious approach should be taken. We should make sure that we have set up the rules and the licensing authorities properly. One issue that bears looking at, which the noble Lord, Lord Kingsland, raised and others supported, is how one finds out what has happened. You want to make sure that you have identified the structures that give the best possible effect. I have agreed to look at that issue.