Legal Services Act

National law firm Setfords Solicitors has become the latest to take external investment after securing a £3.75m injection from the Business Growth Fund (BGF) to support its expansion plans. It has taken a minority stake, the second time it has done so with a law firm after putting £5m into McMillan Williams in early 2015.

There is fast-growing growing demand for free legal advice, with family law now the most requested area of law, according to the experience of LawWorks, the solicitors’ national pro bono charity. Its clincis responded to over 53,000 enquiries, a 24% increase on the previous year.

A boutique commercial firm with strong links to south-east Asia has become an alternative business structure as part of its growth plans, which include forming an alliance with several Middle East law firms.

Barnet and Harrow councils in London have renewed their shared legal service, HB Public Law, a year early, preserving the alternative business structure that has the biggest local authority legal team in the country. However, Fairpoint Group plc has seen its share price crash since issuing a profits warning about its legal arm.

One of the country’s biggest independent firms of will-writers has followed the example set by law firms like Stephens Scown and Gateley and introduced employee ownership in a multi-million pound deal with its previous owners.

A shared legal services between four local authorities in Norfolk is set to create an alternative business structure (ABS). Norfolk Public Law – which trades as nplaw – is choosing to add the ABS alongside its existing practice, rather than transfer everything into the new company.

We round up news stories from the week we haven’t had room to cover, including more sanctions for solicitors caught up in dodgy investment schemes, a new chair for the Legal Services Consumer Panel, a barrister being disbarred over payments to himself, advice on price transparency, and much more.

The chairman of the Conveyancing Association has called on the government to create a new portal to help fill the void left by the collapse of Veyo. Eddie Goldsmith said conveyancing consumers suffered from a “lack of knowledge” about the process and he would like to see a “government initiative” to create an information portal.

AIM-listed law firm Gateley is keen to explore acquisitions of further non-legal businesses, it said yesterday as it announced that the revenue in the six months to the end of October was up by almost 19% on the same period last year. It has also poured millions of shares into an incentive scheme for partners.

The Legal Services Board is to reduce its cost to the profession to the lowest level since the oversight regulator was established in 2009. Its draft business plan for 2017/18, published yesterday for consultation, anticipated a £150,000 reduction on the current year’s budget to £3.85m.

The founders of an alternative business structure which helps insolvency practitioners to process mis-selling claims against financial institutions have now launched a litigation fund. It is being bankrolled by Steve Clark, founder of investment management company Omni Partners.

A central London law firm has launched a fixed-fee family arbitration service in a bid to slash what it says is now an average £70,000 cost for divorcing people to reach a financial settlement. It comes as research shows those who have been through a divorce are less likely than the average to see lawyers as truthful.

Law firms are unnecessarily afraid of operating on fixed fees, and need to take a more commercial approach to how they market and price their services, according to the solicitor who created The Law Superstore. He said he had also found that firms do not monitor how much work their marketing generates.

National Accident Helpline is to invest £1.7m over the next year so as to accelerate changes to its operating model that will enable it to respond to the government’s proposed personal injury reforms. NAH’s profits will be hit in the short term and its share price took a significant hit as a result.

A man who tried to get a vulnerable client to loan him money – shortly after the will-writing firm he worked for became an alternative business structure – has been banned from working in the profession after it reported him to its new regulator.