Small and mid-sized firms feel impact of ABSs but ‘real profit’ is on the up
Many small and medium-sized law practices expect alternative business structures to affect them directly, with a third saying they could merge with another firm and one in five likely to seek external funding and/or bring in non-lawyer owners, a survey has found.
Over 300 ABS applications waiting in the wings, says SRA
More than 450 firms have started the alternative business structure application process over the past year, the Solicitors Regulation Authority has revealed. Having started accepting applications on 3 January 2012, the SRA said that 454 firms have since started the process.
Ombudsman prepares for ABSs after Parliament approves rule changes
The Legal Ombudsman has won approval for changes to its rules that bring them more in line with the Financial Ombudsman Service and so equip it better to deal with alternative business structures like Co-operative Legal Services.
Final Legal Education and Training Review report delayed
Completion of the much-anticipated Legal Education and Training Review has been delayed, it has emerged. The academic team compiling the report after 18 months of research and consultation was meant to have delivered it by the end of 2012.
Susskind: no future for high street firms, but window of opportunity for mid-sized practices
There is not much of a future for small law firms in the face of competition from banks and retailers, while medium-sized practice will need to merge and seek external investment to survive and thrive, leading legal ‘futurologist’ Professor Richard Susskind has predicted.
Call for gender targets as Law Society president says some men do not deserve to be senior partners
Law firms should introduce targets to increase the representation of women lawyers in partnership and senior roles, and turn talk of flexible working into reality, a major new report has recommended, with the Law Society president saying that if career progression was based on pure merit, some senior partners would have got nowhere near the top.
Cost of acquiring PI cases is £700 – and the referral fee ban will have no effect, says report
The cost of acquiring personal injury cases, irrespective of the referral fee ban, is around £700 – £200 more than the government is proposing for routine road traffic claims even before the legal work is factored in, according to new research.
Chambers sign up to escrow account pilot after FSA gives green light
Ten chambers have signed up to the pilot of Barco, the Bar Council’s third-party escrow account that will allow barristers to handle client money. It follows the Financial Services Authority granting regulatory approval for the service under the Payment Services Regulations.
LSB backs end to minimum salary and to IFA referral requirement
Controversial rule changes that scrap the minimum salary for trainee solicitors and allow solicitors to refer clients to tied financial advisers were approved last month by the Legal Services Board. In both cases the LSB found that there was no reason to refuse the applications.
SRA and claims regulator dismiss Law Society speculation of referral fee ban “difficulty”
The Solicitors Regulation Authority and the Claims Management Regulator have dismissed a Law Society suggestion that they will not be ready to implement the referral fee ban on 1 April. The society said there was a possibility the pair “may have some difficulty” in doing so.
