In accordance with Paragraph 5.5 of the Code of Conduct contained in the Core Regulatory Framework, regulated persons must comply with the Complaints Code of Practice when handling first tier complaints.
"First tier complaints" is defined in the Glossary as "a relevant complaint made by a complainant to an authorised person about the services provided by that authorised person".
"Relevant complaint" means a complaint made by any one of the following:
1. an individual;
2. a business or enterprise that was a microenterprise (European Union definition) when it referred the complaint to the authorised person;
3. a charity that had an annual income net of tax of less than £1 million when it referred the complaint to the authorised person;
4. a club/association/organisation, the affairs of which are managed by its members/a committee/a committee of its members, that had an annual income net of tax less than £1 million when it referred the complaint to the authorised person;
5. a trustee of a trust that had an asset value of less than £1 million when it referred the complaint to the authorised person; or
6. a personal representative or beneficiary of the estate of a person who, before they died, had not referred the complaint to the Legal Ombudsman
Regulated persons can apply the Complaints Code of Practice to all complaints they may receive if they wish to do so, but must do so where a complaint has been received from a person or organisation that meets the criteria above.
These requirements were introducted in 2026 as a result of statutory requirements imposed by the Legal Services Board.
First tier complaints reporting requirements
All attorneys need to comply with the new requirements in relation to first tier complaints handling, but reporting requirements only apply to firms and sole traders. Compliance with these requirements will be monitored through firms' and sole traders' annual reporting obligations. From 2026, annual return will now require firms and sole trader attorneys to:
(1) confirm that they have complied with IPReg's complaints handling rules in Paragraph 5 of the Code of Conduct (including the new paragraph 5.5 of the Rules of Conduct),
(2) confirm whether they have provided any services to clients who fall within the category who might make a first tier complaint and if so, whether any such complaints were received,
(3) report the numbers and themes of first tier complaints received in the 2026 practice year, and
(4) report the percentage of first tier complaints that were dealt with to the complainant's satisfaction within eight weeks.
Additionally the annual return will require a self declaration in relation to first tier complaints only, in the following terms "We/I have reviewed the complaints received this year and have taken appropriate steps to identify any risks or potential risks arising out of those complaints and have reflected on whether adjustments to our/my practice are necessary to minimise the risk of similar complaints going forward".