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Capsticks writes off trainee debt after bumper pandemic profits

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LPC and SQE loans reportedly written off

Leading healthcare solicitors Capsticks have reportedly decided to spread the wealth after a highly profitable pandemic.

The national law firm, which acts for the National Health Service and Solicitors Regulation Authority, is said to be writing off course loans to trainees and handing out pay increases.

Capsticks apparently told trainees who borrowed 50% of the course fees for their Legal Practice Course (LPC), Graduate Diploma in Law (GDL) or Solicitors Qualifying Examination (SQE) that they no longer have to pay the firm back.

With the LPC — now being phased out in favour of the SQE — priced at up to £17,500, the debt write-off could amount to serious cash money for junior lawyers.

Trainees are also getting a £3,000 pay rise and bonuses are being dished out across the firm as Capsticks partners roll in piles of cash, RollonFriday reports.

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The firm’s latest accounts show that turnover grew 7% in the highly pandemic-y financial year ending in April 21, and profit lept from £8.5 million to £10 million.

Capsticks didn’t deny the reports of largesse. Head honcho Rachael Heenan told Legal Cheek:

“During the pandemic it has never been more important to look after our clients and our colleagues in line with our values of People First. We are really proud of the way we support our trainees and teams as they develop through their careers and constantly review what we do to achieve this.”

A surprising number of top outfits powered through the pandemic, profitability-wise. Last year, Simmons & Simmons pledged to donate £2 million to charity after smashing a 35% rise in profits in 2020/21.

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15 Comments

GG

Lovely gesture

(16)(1)

Anon

So is this🖕

(3)(18)

Al

Is this a real firm?

(4)(10)

Associate

I think its the in-house team for a lip balm manufacturer

(30)(5)

Associate

£50m revenue firm that makes their trainees pay their own course fees… People should read between the lines on the gesture.

(42)(0)

Hmm

So they don’t cover future trainees LPC/GDL costs like almost every other UK firm?

(33)(3)

realist

What about trainees who didn’t take a loan. Seems harsh on them.

(15)(1)

Anonymous please. Twelve lawyers is better than a giant Mars bar

If a firm offers a loan for the LPC, surely you’re better off just going for the student finance funding with an LPC/Masters combined course?

I doubt the firm is going to offer better terms than SF

(1)(1)

Someone in the know

An interest free loan, that is deducted from your monthly payslip for tax efficiency… SF can do one.

(0)(0)

This is only partly it Chief

Great, but they should also issue a public apology to Claire Matthews for unnecessarily reporting her to the SRA, and for being instrumental in what I only imagine to be the most stressful time of her life.

(8)(3)

This ain't it Chief

In fact this isn’t it at all… even this is a ploy.

(0)(1)

Anonymous

Are MdR going to raise their NQ salaries? £83k for 2,000+ hours ain’t great (target 1,500 but in reality you end up doing 2,000).

(1)(0)

V

Lol how the well do we know

Also LC need to update salary for ES, they are 95k now for NQs

(0)(0)

Archibald Pomp O'City

What Capsticks tried to do to Briefcase Girl is in the public domain. I respect the difficult job of moderation but why would this be moderated?

(2)(0)

Anonymous

This is how every company should deal with excess profits, give back to those who earned them.
Well done Capsticks for setting a trend, let’s see how many others follow?

(0)(0)

Comments are closed.