UK Immigration Law
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Public funding to get access to your children does not count as public funds for the purpose of your visa. You are therefore not breaching your conditions in any way by getting this legal assistance. The public funds to which it refers are things like income support, employment support allowance etc. You are not allowed to claim these on your visa but legal aid shouldn't count as a breach of your requirements and therefore should not have any impact on your getting ILR. If the Legal Services Commission try and tell you that you should repay the money, you should query this as it legal aid does not count as a public fund since asylum seekers have no eligibility to public funds but they are the main recipients of asylum legal aid.
Click on this link.
This is the Home Office explaining exactly what they count as public funds and what they don't. As you can see, they do not consider legal aid to be public funds for the purpose of your visa.
Yes the LSC is government funded but it is not considered to be 'public funds' in the same way that income support is.
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