UK ministers have unveiled a draft scheme that would require law firms operating in England and Wales to disclose the source of client interest and potentially remit a levy to the state. The proposal follows a series of reviews into the legal sector’s contribution to the public funding of access‑to‑justice programmes. Under the draft, firms could be asked to calculate a charge based on the value of work generated by third‑party referrals, a move officials say would close a perceived funding gap.

Critics warn that a blanket charge could amount to hundreds of millions of pounds annually, squeezing smaller practices and raising compliance costs. Proponents argue the revenue would bolster legal aid and reduce the backlog of untreated cases. The consultation runs for 12 weeks, after which ministers will decide whether to embed the measure in legislation.

If adopted, the regime could reshape how commercial law services are financed and force firms to rethink client‑acquisition strategies.