The role of the Compliance Officer for Legal Practice (COLP) is far more vital than it is visible. Tasked with safeguarding the integrity and regulatory compliance of the firm, COLPs now carry the weight of complex demands, mounting regulatory scrutiny, and, often, a lack of understanding or support from their colleagues.
Recent regulatory action and survey data should serve as a wake-up call: COLPs are under significant pressure, and the legal sector must respond with more than lip service. Law firms need to invest meaningfully in compliance leadership, in budget, time and culture.
The weight of responsibility
The role of the COLP isn’t optional, and it isn’t symbolic. When compliance failures happen, it’s the COLP who feels the heat first.
Take the recent case of Gordons Partnership, fined £78 by the Solicitors Regulation Authority (SRA) for breaching money laundering regulations over a sustained three-year period. The SRA’s investigation uncovered failures in client and matter risk assessments across multiple files, the absence of an independent audit and policies that fell short of legal requirements.
What makes the case especially telling is that the firm handled a significant volume of work, up to a third, within the scope of the money laundering regulations. In other words, this wasn’t a one-off error. These were basic, systemic failures with the potential to cause serious harm.
While Gordons Partnership cooperated fully, admitted the breaches, and took remedial action, which the SRA acknowledged as mitigating factors, the regulator still imposed a fine equivalent to between 1.6% and 3.2% of the firm’s annual turnover. The message is clear: failings in AML compliance will be penalised firmly, especially in alternative business structures where the SRA has the power to go well beyond its standard £25K fine cap.
This case is not an anomaly. It reflects a broader trend of increasing fines and stricter enforcement, particularly in relation to AML regulations. It also reinforces the message that even firms acting in good faith can face serious consequences when compliance structures are under-resourced or deprioritised.
The human cost of compliance
The pressure isn’t just financial, it’s personal for many COLPs. A recent survey by Thirdfort of 150 senior compliance leaders in law firms revealed that:
- 50% of compliance officers feel overwhelmed by the demands placed on them
- 40% work overtime at least once a week to manage AML compliance issues
- 1 in 10 report that compliance-related stress has negatively affected their mental health on four or more days each week for the past year
Even more concerning, just 2% of respondents said their colleagues fully understand the role of a compliance officer. 35% described their role as “overwhelming,” and 17% said they are viewed internally as an obstacle to the firm’s success.
This disconnect between the importance of the COLP role and how it is perceived or supported within firms is not only demoralising but it is also dangerous.
No longer a one-person job
The root of the problem isn’t just regulation. It’s how law firms treat compliance as a siloed or secondary function. In too many firms, the job of the COLP is seen as an isolated burden, rather than a firm-wide responsibility.
But compliance isn’t a solo act. It is a joint venture, and legal liability ultimately rests with the entire partnership. It cannot be pushed onto one individual while others focus exclusively on billable hours. A strong compliance culture must be led from the top and supported at every level.
That means:
- Adequate budget for training, technology, and external audits
- Protected time for risk assessments, procedural reviews, and internal engagement
- Clear recognition of the strategic importance of compliance, not as a blocker, but as a foundation for long-term viability
There are risks in doing nothing
Non-compliance is no longer a quiet, back-office issue but a headline risk. The reputational damage from regulatory action can be swift and severe. Clients lose trust. Insurance premiums go up. Regulators keep knocking.
And the fines are only going in one direction. The SRA has demonstrated in case after case, that it is prepared to hold firms to account.
Is your COLP quietly holding the line while others look away?
Now is the time to step up. Review your internal policies. Reassess your compliance budget. Engage leadership in honest conversations about how the firm values and supports its regulatory leaders.
A firm that empowers its COLP with the authority, resources and recognition they need is building a resilient, compliant, and trusted business.
The SRA mandatory diversity survey is coming this summer 2025. Law firms of all sizes must begin preparing now.
Join VinciWorks’ compliance experts for a free one hour webinar on Wednesday 25th June, 12pm UK where we’ll walk you through the 2025 requirements, explain the different ways to undertake the survey (and stay compliant with GDPR), and show how you can collect all the necessary data in minutes using our free Omnitrack tool.
However you plan to deliver this survey to your firm, let VinciWorks help make sure you’re ticking the box.
