THE Malaysia Competition Commission (MyCC) is concerned with the recent move by the Bar Council to raise conveyancing fees.

MyCC wants the Bar to reconsider, or at least delay, the hike, which came into effect on Saturday.

MyCC chairman Mohd Hishamudin Yunus urged the Bar to continue discussions with his agency.

Hishamudin said MyCC’s earlier efforts to persuade the Bar were unsuccessful. 

“The Bar Council has the irrefutable potential to set a positive example by promoting competition within the market.

“MyCC has received visits from various professional bodies and traders’ associations that have sought our support for their proposals to fix fees or prices for their products and services.

“However, such an approach does not bode well with MyCC’s vision,” he said in a statement.

Hishamudin said these bodies should strive for creativity and innovation to promote market efficiency, rather than rely on fixed-scale fees.

“This is untimely, especially when the citizens are struggling with the rising cost of living.

“We should stay away from such an approach if we aim to become a developed nation with a strong and robust economy based on a dynamic marketplace that encourages innovation, efficiency, and competitive pricing practices,” he said.

MyCC said the Bar’s decision contradicts the government’s efforts to enhance housing affordability for citizens.

“Initiatives like the Memorandum of Transfer and stamp duty exemptions or discounts, real property gains tax exemption, and the housing credit guarantee scheme (HCGS) – while they are implemented to specifically spur the housing industry, they are also intended to alleviate the impact of rising living costs on the targeted groups.”

Hishamudin said MyCC aspires towards a more flexible fee structure, in line with international best practices.

“MyCC believes consumers are better protected when an industrial policy variation takes competition principles into account.”

The Bar’s Solicitors’ Costs Committee announced the rise in conveyancing fees under the newly enacted Solicitors’ Remuneration (Amendment) Order 2023. – July 17, 2023.