The Legal Services Consumer Panel calls today for probate and estate administration services to be regulated and made reserved activities along with will-writing.

However in a submission to the Legal Services Board, following a call for evidence on will-writing, probate and estate administration services, the watchdog says there is no justification to create a monopoly for solicitors or other existing authorised persons.

Instead, the response says, any business wishing to offer probate and estate administration services should be able to do so as long as it can satisfy the regulatory requirements.

The proposed regulatory regime should include suitability checks on individuals, including criminal records and bankruptcy checks; measures to ensure financial protection for consumers; and a system of complain to the legal ombudsman.

The consumer panel suggests that regulation in this area would protect consumers from the risk of fraud and offer redress against poor service and over-charging.

However, a YouGov survey published in January 2012 by the LSB, and cited in the report, indicates that 86% of consumers who use professional probate services use solicitors, who are already regulated. Therefore, the unregulated market is small, especially when compared with the will-writing market, where solicitors prepare only two-thirds of wills.

The online poll of 2001 people found that 68% of consumers were satisfied overall with the service they received, a figure rising to 69% for those who used a solicitor.

The survey found that while most estates (62%) are dealt with in less than six months, only 65% of consumers were satisfied with the timeliness with which their case was handled.

It found considerable variation in the price of probate and estate administration services. The mean cost is £1,697, while 51% cost less than £1,000 and 15% cost over £3,000.

The survey also showed a ‘high DIY element’, with only 54% of respondents using a professional probate service at some stage in the process. Data cited from the Probate Service showed that only 36% of probate applications were done with any legal representation in 2010.

Panel chair Elizabeth Davies said: ‘Dealing with someone’s finances after their death is an important responsibility and takes places at a time when loved ones are grieving.

'It’s vital to introduce a mechanism to ensure that professional advisers handle things properly, progress the paperwork speedily and charge a fair price for the work.’

She said: ‘Although most people are happy with the service they get, all too often estates end up taking many months or even years to finalise, and costs spiral out of control.

‘Beneficiaries are in a poor bargaining position, often feeling powerless to prevent these problems, especially when lawyers are named as executors in the will. The important safeguard of allowing complaints to the Legal Ombudsman would compensate consumers suffering poor service and also deter malpractice.’