Law Firm Compliance Audit

MAR Legal carries out law firm compliance audits for SRA-regulated practices across the UK. Where a firm wants to understand its current compliance position, identify gaps before the SRA does, or prepare for an upcoming inspection, our solicitors conduct a structured review of the areas the SRA expects firms to have right.

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What a Law Firm Compliance Audit Covers

A law firm compliance audit is not a generic business review. It focuses on the specific obligations that SRA-regulated firms carry, accounts rules, AML controls, client care frameworks, supervision arrangements, conflicts management, complaints handling and the records the COLP is required to maintain. MAR Legal works with firms across Manchester and throughout England and Wales, reviewing each area against current SRA Standards and Regulations and producing a clear written report. The report identifies what the firm has in place, where the gaps are, and what needs to be addressed. Solicitors accounts rules audit work is included where the firm’s financial controls and client money procedures need specific attention. The scope is agreed upfront and the output is practical.

How Our Compliance Audit Solicitors Help Law Firms

A structured review across the compliance areas that matter most to SRA-regulated firms.

SRA Standards and Regulations Review

A review of the firm’s policies and procedures against the SRA Standards and Regulations, identifying gaps in conduct obligations, supervision arrangements, client care requirements and the firm’s approach to reporting concerns.

Accounts Rules and Client Money Review

A review of the firm’s compliance with the SRA Accounts Rules, covering client account controls, reconciliation processes, residual balances, billing procedures and the records required for an accountant’s report.

Mock SRA Audit

A structured simulation of an SRA inspection, testing the firm's readiness to respond to regulatory scrutiny. Identifies what the SRA would look for and where the firm's current position would give cause for concern.

AML Compliance and Controls Review

Assessment of the firm's AML framework, including the firm-wide risk assessment, client due diligence procedures, source of funds checks, sanctions screening and suspicious activity reporting arrangements.

What this means for your Firm

  • The firm knows exactly where it stands against current SRA requirements
  • Compliance gaps are identified before the SRA identifies them first
  • The COLP has a documented record of the firm's compliance review
  • Corrective action is prioritised by risk, not tackled all at once
  • The audit report provides evidence of proactive compliance management

When To Seek Advice

  • The firm has not had an independent compliance review in the past 12 months
  • The SRA has made contact or signalled that a thematic review is coming
  • A new COLP has been appointed and wants to understand the firm's current position
  • The firm has grown, taken on new work types or restructured and the compliance framework has not been updated to reflect that
  • The firm wants to prepare properly before applying for a new firm authorisation or ABS licence

Meet the Founder

Marium brings 22 years of experience advising law firms and SRA-regulated practices on compliance, governance and regulatory risk across the UK. A Solicitor regulated by the SRA (ID: 277854) & MCIArb. She founded MAR Legal to give law firms direct access to senior compliance expertise without the overhead of a traditional consultancy.

Marium Razzaq - Solicitors in Manchester
Marium Razzaq
Solicitor & Director Mar Legal
MCIArb

Contact us for Law Firm Compliance Audits

Trusted by Law Firms across the UK for support with compliance audits.

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Why Choose MAR Legal for a Law Firm Compliance Audit

Solicitor Led Advice

All audit work is carried out by qualified solicitors with direct experience of SRA regulation.

Clear Timescales

Delivery dates agreed at the outset and met without the need to chase.

Fixed Fee

Scope and fee agreed upfront. No hourly billing, no unexpected costs, a clear written report delivered on the agreed date.

Commercial Focus

Based in Manchester, our solicitors work with law firms across the UK, with remote and on-site audit options available.

Why Choose MAR Legal for ABS Authorisation

01

Scoping call

We discuss the firm's size, structure, work types and any specific concerns. The audit scope and fixed fee are agreed before any work begins.

02

Document and policy review

We review the firm's existing policies, procedures, risk assessments, file samples and compliance records against current SRA requirements.

03

Findings report

We produce a clear written report setting out what the firm has in place, where the gaps are, and what needs to be addressed, with actions prioritised by risk.

04

Follow up

We are available to discuss the report findings and assist with any corrective action the firm decides to take following the audit.

A law firm compliance audit sits within our broader Law Firm Regulation and SRA Compliance practice. Where the audit identifies gaps in specific areas, our COLP and COFA Support service can assist with ongoing compliance management, and our Mock SRA Audit provides a more detailed simulation of what an SRA inspection would involve.

What Our Clients Say

Law Firm Compliance Audit: Common Questions

A law firm compliance audit reviews the firm's policies, procedures and controls against SRA requirements. This typically covers the SRA Standards and Regulations, AML framework, client money and accounts rules compliance, client care procedures, supervision arrangements, conflicts management and the records the COLP is required to maintain. The exact scope is agreed at the outset and adapted to the firm's size, structure and work types.

A compliance audit is a broader review of the firm's overall compliance position, producing a written report that identifies gaps and recommends corrective action. A mock SRA audit is a more specific exercise that simulates what an SRA inspection would look like, testing the firm's ability to respond to regulatory scrutiny in practice. The two can be carried out together or separately depending on what the firm needs.

The SRA does not set a fixed requirement for how often firms must audit their compliance position, but best practice is at least annually. Firms should also consider an audit following significant changes — a new COLP appointment, a merger, a change in work types, growth in headcount, or after a period of SRA contact. The COLP's ongoing monitoring obligations do not replace the value of an independent structured review.

MAR Legal prices compliance audits on a fixed fee basis, agreed before the work begins. The cost depends on the firm's size, the scope of the audit and whether any specialist areas such as accounts rules or AML controls need particular attention. There is no hourly rate. Contact us with details of the firm's size and structure and we will provide a clear fee proposal.

Yes. If the SRA has made contact or indicated a review is coming, an independent compliance audit helps the firm understand its current position quickly, identify any issues before they are raised by the regulator, and demonstrate that proactive steps are being taken. Where the SRA contact relates to a specific concern, the audit scope can be focused on the relevant area rather than covering everything.

All law firm compliance audit work at MAR Legal is carried out by qualified solicitors with direct experience of SRA regulation and the compliance obligations that apply to regulated practices. The work is not delegated to paralegals or generic compliance consultants. The COLP or relevant contact at the firm works directly with the solicitor conducting the review throughout the process.

MAR Legal produces a written findings report setting out the firm's current compliance position, the gaps identified and the corrective actions recommended, prioritised by risk. We are available to discuss the report and assist with any follow-up work the firm decides to take. Where the audit identifies areas that need ongoing support, our COLP and COFA Support and SRA compliance services can assist with the next steps.

MAR Legal provides compliance advisory services and written audit reports. Where a matter involves reserved legal activities or requires representation before a regulator, we work alongside appropriately regulated professionals. The firm does not conduct litigation, advocacy or any other reserved legal activity.