More than half of chambers say they could not survive more than six months without financial aid, if current circumstances persisted, and 81% could not last a year.
However, less than a quarter of chambers intend to take up the government’s Coronavirus Business Interruption Loan Scheme (CBILS)―heads of chambers were uncertain about whether they would qualify for the scheme as well as what the terms entailed and what level of debt would result.
The survey uncovered grim news for those poised to begin their careers. Some 30% of chambers are changing their plans for pupillage starting in 2020 or 2021, and will or may not be taking pupils as planned. A further 24% are currently unsure, and continue to review the position.
Criminal law is the most affected area―two thirds of chambers said they could not survive six months and 90% could not last a year. 60% of criminal chambers are furloughing clerks and other staff, more than half are taking urgent measures such as renegotiating their lease, and 36% are changing their plans for pupillage, while a further 22% are unsure.
Amanda Pinto QC, Chair of the Bar, said: ‘We continue to urge the Ministry of Justice and government to give immediate support to the Bar, especially those in the early stages of their practice and those doing publicly funded work.
‘Whilst the measures introduced last week by the Chancellor of the Exchequer to help the self-employed were welcome, the self-employed Bar and chambers have needs that have not been addressed. Having canvassed the Bar through our survey, we have identified consistent concerns that chambers are facing, which we have raised as a matter of urgency with the government. We continue to press for action on these issues.’
In particular, the Bar Council points out that pupils and the most junior tenants are not eligible for hardship relief as first six pupils are not categorised as either employed or self-employed, and new tenants do not have a 2018/19 tax return. It expresses concern that parents returning from parental or adoption leave may lack a tax return for last year or have low income. Moreover, it notes that childcare costs are not tax deductible and, as the publicly funded Bar is more diverse than other areas, barristers from more diverse backgrounds are more disadvantaged by the current crisis.
