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Legal Aid Contracting Legal Aid Contracting Equality, Procurement and Competition FOREWORD We published research on legal aid contracting and international comparisons in July this year, to help members and others interested to find out more about the likely impact of contracting proposals. This, our second research paper, looks to build on that understanding by outlining the legal and economic context in which contracting for criminal legal aid might operate. This research paper does not outline any policy view around legal aid contracting. The aim is simply to indicate some of the issues that may arise should contracting be adopted. A Scottish Government consultation paper on criminal legal aid contracting is expected shortly and we will be surveying members for their views as part of our engagement on this issue. In the meantime, we are grateful for the feedback that we have already received on this work and this issue and welcome further views. Andrew Alexander Head of Access to Justice December 2013 2 TABLE OF CONTENTS FOREWORD ................................................................................................................................ 2 CHAPTER ONE – CONTRACTING AND EQUALITY ....................................................................... 7 THE EQUALITY ACT 2010 ........................................................................................................ 8 GENERAL EQUALITY DUTY ................................................................................................. 8 BROWN PRINCIPLES ........................................................................................................... 9 SPECIFIC DUTIES ............................................................................................................... 10 SLAB – EQUALITY MAINSTREAMING ................................................................................ 11 SPECIFIC DUTY – PUBLIC PROCUREMENT ........................................................................ 12 SERVICE PROVIDERS ......................................................................................................... 14 EMPLOYERS ...................................................................................................................... 16 STANDARDS OF CONDUCT ................................................................................................... 17 DEMOGRAPHY...................................................................................................................... 18 CRIMINAL LEGAL AID CLIENTS ......................................................................................... 18 CRIMINAL LEGAL AID PROVIDERS .................................................................................... 19 REMEDIES ............................................................................................................................. 22 CONCLUSIONS ...................................................................................................................... 26 DEMONSTRATING COMMITMENT TO EQUALITY ............................................................ 26 GUIDANCE AROUND EQUALITY ....................................................................................... 26 EQUALITY CHALLENGES ................................................................................................... 26 ANNEX 1A – FIRM SIZE BY NUMBER OF REGISTERED CRIMINAL PRACTITIONERS .............. 27 ANNEX 1B – AGE AND GENDER OF CRIMINAL LEGAL AID PRACTIONERS ........................... 28 CHAPTER TWO – CONTRACTING AND PROCUREMENT ........................................................... 31 PUBLIC CONTRACTS (SCOTLAND) REGULATIONS 2012 ....................................................... 33 CONTRACTING AUTHORITY .............................................................................................. 34 3 CONTRACT VALUE ............................................................................................................ 35 GENERAL OR SPECIAL EXEMPTION .................................................................................. 38 PART A AND PART B SERVICES ............................................................................................. 38 SELECTION AND AWARD CRITERIA .................................................................................. 38 PROCUREMENT PROCESS FOR PART A SERVICES ............................................................ 40 TFEU PRINCIPLES .............................................................................................................. 41 REMEDIES ............................................................................................................................. 42 PROCUREMENT REFORM ..................................................................................................... 42 EU PROCUREMENT DIRECTIVE ......................................................................................... 43 PROCUREMENT REFORM (SCOTLAND) BILL .................................................................... 43 CASELAW .............................................................................................................................. 44 TENDER CRITERIA IN ENGLAND AND WALES ................................................................... 44 TFEU PRINCIPLES .................................................................................................................. 53 DEXTER MONTAGUE ........................................................................................................ 53 HASTINGS & CO ................................................................................................................ 56 AZAM & CO ...................................................................................................................... 58 JR SOLICITORS .................................................................................................................. 60 CONCLUSIONS ...................................................................................................................... 61 CHANGING PROCUREMENT LANDSCAPE ......................................................................... 61 CONTRACT CRITERIA ........................................................................................................ 62 MISTAKE ........................................................................................................................... 62 CHAPTER THREE – CONTRACTING, MARKETS AND COMPETITION ......................................... 64 PERFECT COMPETITION ....................................................................................................... 65 MONOPSONY ....................................................................................................................... 65 COMPETITIVE NEUTRALITY .................................................................................................. 67 4 SUICIDE BIDDING ................................................................................................................. 68 COMPETITION LAW .............................................................................................................. 69 CONCLUSIONS ...................................................................................................................... 70 MONOPSONY NOT INTRINSIC BARRIER TO COMPETITION ............................................. 71 RISK OF SUICIDE BIDDING ................................................................................................ 71 COMPETITIVE NEUTRALITY .............................................................................................. 71 REFERENCES ............................................................................................................................. 73 BIBLIOGRAPHY ..................................................................................................................... 73 CITATIONS ............................................................................................................................ 75 LEGISLATION .................................................................................................................... 75 CASES ............................................................................................................................... 75 5 Public sector equality duty • Eliminating discrimination • Advancing equality of opportunity • Fostering good relations • Due regard is integral to functions of public bodies Specific duty - procurement • Ensuring relevance and proportionality • Ensuring effective SME participation Service providers, employers and accessible services • Prohibition on discrimination, harassment, victimisation • Duty to make reasonable adjustments Law Society Standards of Conduct • Prohibitions on discrimination in line with Equality Act 2010 • Specific responsibilities for managers and supervisors around training and accessibility Demography of criminal legal aid • Many clients possessing protected characteristics as well as other characteristics that cause vulnerability • Age distribution differs from that of profession overall 6 CHAPTER ONE – CONTRACTING AND EQUALITY Legal aid is an important public service: in a recent survey by Ipsos MORI for the Law Society of Scotland (LSS), 81% of the public agreed with the statement that ‘Legal aid is a price worth paying to ensure we have a fair society, regardless of the cost’. 1 2 Legal aid provides support to some of the most vulnerable in society, often directly assisting
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