Part 2Regulation of licensed legal services
Chapter 1Approved regulators
Internal governance
I127Internal governance arrangements
1
The internal governance arrangements of an approved regulator must incorporate such provision as is necessary with a view to ensuring that the approved regulator will—
a
always exercise its regulatory functions—
i
independently of any other person or interest,
ii
properly in other respects (in particular, with a view to achieving public confidence),
b
continue to allocate sufficient resources (financial and otherwise) to the exercise of its regulatory functions,
c
review regularly how effectively it is exercising its regulatory functions (in particular, by reviewing the effectiveness of its regulatory scheme).
2
In relation to an approved regulator which has representative functions, relevant factors in connection with subsection (1)(a) include (in particular) the need for—
a
the approved regulator's code of conduct (if any) for its members to be compatible with the regulatory objectives and the professional principles,
b
the approved regulator to—
i
exercise its regulatory functions separately from its other functions (in particular, any representative functions), and
ii
avoid conflicts of interest in relation to its regulatory functions,
c
the approved regulator to secure that a reasonable proportion of the individuals who are responsible for the exercise of its regulatory functions are not qualified legal practitioners.
3
The approved regulator's regard to the factor mentioned in subsection (2)(b) is demonstrable by (for example) its securing that within its structure its regulatory functions are clearly demarcated.