Ministry of Justice steps in to bolster law centres

The Ministry of Justice and the South West London Law Centre are testing a new business model for law centres which is designed to deliver a more sustainable future for the sector.

The move comes after the SWLLC ran into financial difficulties in September 2009. An action plan has been developed, and will cover:

• An examination of the causes of the centre’s financial difficulties
• The design and delivery of a turnaround package
• A joint project between the government, SWLLC, the Law Centres Federation, City law firms and other independent funders to evaluate the centre’s experience of financial crisis and turnaround and using it to develop a new business model.

As well as strengthen law centres’ infrastructure, the project is intended to identify “new, more efficient ways of working and potential sources of funding for different aspects of law centres’ work, including the range of central government departments, local authorities, charities, independent trusts and law firms”.

The Ministry of Justice has committed £235,000 to the scheme, while private funders are providing £80,000.

Legal Aid Minister Willy Bach said: “By working with the SWLLC , we can study the challenges faced by law centres across the UK and develop more sustainable operations and working methods that can be employed by law centres everywhere. The lessons learned from this project will be invaluable in assisting other law centres with building sustainable models.”

Julie Bishop, Law Centres Federation Director, added: “This pilot will help to strengthen all law centres so that they can continue to help save people’s homes, protect people at work and make sure people get the care they need.”