The study, carried out by Frontier Economics, was commissioned by Chancery Lane to assess the costs associated with applying for and maintaining a civil legal aid contract, as well as the profits or losses generated by such work. The research was part of a broader review of civil legal aid initiated by the previous government, though the findings of that review have not yet been released.
Earlier this year, research revealed that lawyers were losing money on housing legal aid cases. The new report highlights the broader economic benefits of adequately funding civil legal aid.
The latest findings show that the cost of a typical GP consultation to the NHS is £42, while the least expensive A&E visit costs £86. More serious hospital admissions can cost as much as £586 per day.
Nearly half of tenants in the UK are living with some form of housing disrepair, with 10% facing significant issues. In England alone, homes in serious disrepair are estimated to cost the NHS an additional £255 million. If reforms to housing legal aid could reduce the occurrence of major disrepair issues by just 5%, it could save the NHS £15 million annually.
Nick Emmerson, President of the Law Society, commented: "For decades, previous governments have gradually starved the civil justice system of funding, pushing it to the brink of collapse. Legal aid is crucial for ensuring that citizens' voices are heard. Without it, the consequences extend beyond justice, impacting health, employment, and education."
Emmerson added, "Like any public service, legal aid must be properly funded. Our research clearly shows the economic benefits of investing in the justice system. The Prime Minister and his government have the opportunity to reverse the damage done by the previous administration by properly investing in civil legal aid. This would ensure that public services are equipped to support families facing issues like eviction, housing disrepair, and other life-altering challenges."
