Purpose

Update to lawyers’ charge rates to
reflect CPI.

Decision

To approve the fees and charges for specified
services - as set out in Appendix 1 and Appendix 2 [Appendices
follow the end of the report] – the transaction fees and
costs for property and planning. These charges will be reviewed
annually by the Head of Legal & Democratic Services &
Monitoring Officer, who will continue to review in light of the UK Consumer Price Index
(“CPI”) and amend on an increase only basis from
1st June 2024 – to 31st May 2028 [the
intervening period].

Reasons for the decision

Unlike statutory fees and charges Local Authorities are not
constrained in how they calculate and apply fees and charges for
discretionary services they provide. This means that they can
include the full cost of all aspects of service provision and
invest monies received in Council services by the levy of charges.
The Service last reviewed it fees and charges in July 2023 by the
Head of Legal & Democratic Services & Monitoring Officer
Michael Hewitt. In light of the ongoing financial pressures facing
the Council the Service intends to increase its schedule of fees
and charges in accordance with CPI from 1st June 2024 at
an average of 4% and review these annually on an upwards only basis
until and including 31st May 2028 over a 4-year
period.
 
The current forecasted average rate of CPI for the UK in
2024 is calculated at 4% meaning that the standard hourly rate
charged to external parties is proposed to increase from £203
to £211 p/hr (all quoted figures
in Appendix 1 are rounded up/down to the nearest pound). Appendix 2
shows the costs of property and planning transactions broken
down.
 
The majority of Service income remains
dependent upon property transactions and is generated through
recovery of Service costs from tenants of the Council’s
Commercial Estate and any developer funded work. There has also
been an increase in recovery of legal costs from prosecution
cases.

Alternative options considered

Not applicable.