An accountancy firm has been licensed as an ABS (alternative business structure) for probate for the first time.
Meanwhile “Big Four” firm KPMG is planning to expand after gaining a legal services ABS. Kingston Smith, which has more than 400 staff and offices in London and the south east, received its license to carry out probate work from the ICAEW (institute of Chartered Accountants of England and Wales) this week.
The ICAEW became an approved regulator and licensing authority for probate and ABS last month, and has estimated that about 250 firms will apply for a license to carry out probate work.
Vernon Soare, ICAEW executive director, said: “This will open up the marketplace for the consumer, who might want their accountant to handle legal services too.” Chris Kenny, chief executive of the Legal Services Board added: “I hope that this is the first of many probate licences issued as ICAEW commences its role as a regulator in the legal services sector.”
Meanwhile, KPMG has been given an ABS licence by the Solicitors Regulation Authority (SRA) to operate on a multidisciplinary practice basis – the first of the big four accountancy firms to do so. KPMG’s UK chair, Simon Collins said: “We are taking a focused approach: our key market differentiator is that we will only offer legal services which are fully integrated with other areas where we already provide advice.
"To be clear, we have absolutely no plans to develop any kind of standalone legal practice. The new regulatory regime, designed to open up the provision of professional services across the sector, allows us to extend our legal services provision where we have a proven and successful track record.”
KPMG has had non-practising solicitors working in its tax and pensions practice for the last decade, providing legal advice primarily in the area of tax litigation. In recent years, it has moved into corporate, commercial, immigration and employment matters.
It currently has more than 50 lawyers and immigration specialists, including four partners. Gary Harley, partner in charge of KPMG’s legal services business, said: “Our existing legal team is on track to generate almost £10m in revenues this year and our future ambitions are to build on the solid foundations of this proven strategy, developing our ‘bench strength and capability’ in further areas which are complementary to and integrated with our existing business. We are in recruitment mode.”
