HC Deb 10 April 2001 vol 366 cc583-4W
Mr. Stinchcombe

To ask the Parliamentary Secretary, Lord Chancellor's Department how much money was allocated to neighbourhood law centres in(a) 1997–98, (b) 1998–99 and (c) 1999–2000; and what plans he has to increase the budget allocation for such centres. [R] [157437]

Mr. Lock

The Legal Aid Board made grants to nine law centres. It made payments to these and other not-for-profit (NfP) organisations (including to law centres not funded by grants from the board) for civil legal aid work that they undertook. Total payments to law centres were:

  1. (a) in 1997–98, £4.439 million out of a total payment to NfPs of £12.927 million;
  2. (b) in 1998–99, £4.164 million out of a total payment to NfPs of £17.321 million; and
  3. (c) in 1999–2000, £4.044 million out of a total payment to NfPs of £18.478 million.

Since January 2000, the Legal Services Commission (which has replaced the Legal Aid Board) has provided legal help services exclusively under contracts with providers able to meet the specified quality standards. The Lord Chancellor has directed the commission to spend at least £20 million on contracts with NfP organisations, including law centres and neighbourhood advice agencies. Contracts with NfP organisations let in the 15-month period January 2000-March 2001 had a value of £36,111,227.

On 12 March 2001, the Legal Services Commission issued a consultation paper about future funding within the CLS for the nine law centres which it funds by grants. The paper set out proposals for translating current grant funding into contract funding. The Lord Chancellor has said that he expects these grants to be phased out by April 2002 and to be replaced by contracted funding targeted on eligible clients and priority needs. The Legal Services Commission is working with the Law Centres Federation and the law centres to effect this change.