Aspiring lawyers will be required to pass a new qualifying exam and will no longer need to complete the Legal Practice Course (LPC), under an overhaul of legal training announced by the Solicitors Regulation Authority (SRA).

The SRA confirmed today (25 April) that from 2020, the new Solicitor's Qualification Examination (SQE) will replace the current system of qualification, removing the requirement to complete the LPC.

The implementation date will be no earlier than September 2020, to allow all affected parties time to prepare for the changes.

The SQE will be split into two stages, the first of which will focus on functioning legal knowledge – including professional conduct, commercial and corporate law, and dispute resolution – with the second covering practical legal skills such as drafting, interviewing and oral communication.

Trainee solicitors will also no longer be required to complete training contracts – instead, they will need to complete at least two years of "qualifying legal work experience". This experience can be covered by as many as four different employers, including a university – for example, working for a university law clinic. Paralegal work can also count towards the work experience requirement.

The SRA is expecting that candidates will take stage one of the SQE before their work-based experience, and SQE stage two at the end of their work experience.

Under the new system, if candidates do not have a degree they will be able qualify if they have an equivalent qualification or equivalent experience.

The introduction of the SQE has been motivated in part by a desire to remove the burden of large upfront costs taken on by students for the LPC, which can cost as much as £15,000.

SRA chief executive Paul Philip said: "We all need to be able to trust that those who enter the profession are fit to practise. The current system cannot provide that confidence. The new SQE will provide assurance that all those who qualify, regardless of pathway or background, meet the consistent high standards we set on behalf of the public."

SRA director of education and training Julie Brannan added: "This will replace the requirement to do a qualifying law degree and an LPC. Instead, what people will have is a degree or equivalent qualification, and they will complete a substantial period of work experience. The strong view from the consultation was that two years was appropriate, but it will be more flexible than what we have at the moment.

"The SQE assesses core knowledge and frees up law firms and universities to design their own specialist training."

The SQE has been in development for the past 18 months, with a second consultation on the proposals launched in October 2016 after responses to the first, in December 2015, led to amendments.

The first consultation received more than 240 formal responses, while the second garnered 253. The proposals have met with some resistance, with more than half of respondents to the most recent consultation disagreeing that the SQE is "a robust and effective measure of competence", including 37% who "strongly" disagree.

The SRA is now looking for an assessment organisation to handle the SQE, with a tender process expected to be launched before the summer.