Alternative business structure hopefuls are being invoiced thousands of pounds for consultants to handle the financial minutiae of their applications to the Solicitors Regulation Authority, the Gazette has learned.

The SRA says it has hired specialists to supplement its 25-strong team dedicated to vetting ABS applications. Last month it was revealed that consultants had been drafted in to deal with foreign organisations - it has now emerged that similar arrangements are in place for applications involving private equity.

Since the SRA’s ABS application process opened in January, five licences have been granted. The regulator currently has 104 applications at an advanced stage. The Law Society Management Section conference last week heard claims that some firms have been charged up to £50,000 to pay for financial experts.

The SRA denied that any invoice has been so high, but has confirmed that consultants are being used to review specific aspects of an application and that applicants will be billed for this cost. Fees - £2,000 for the basic application, plus a charge for each manager who is not a solicitor, additional day charges and consultancy fees - are paid in advance, a spokesman said.

‘If we do not incur all of the costs initially anticipated, we refund any surplus at the end of the process.’

The SRA declined to name the consultancy firms employed or reveal their charges.

Ann Morgan, ABS manager for the SRA, said the regulator has a duty to verify the character and suitability of anyone undertaking reserved legal activities: ‘If we have to employ experts to protect clients and the profession, then so be it.’