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16 March 2012 / Giles Murphy
Issue: 7505 / Categories: Features , Legal services , Profession
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Gearing up

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Giles Murphy considers how the Legal Services Act will drive up competition & efficiency

News of M&A activity between law firms and businesses from outside the profession has come thick and fast in recent weeks and the unforgiving economic climate is likely to fuel this activity.

In recent weeks, we have seen Silverbeck Rymer acquired by Quindell Portfolio, Russell Jones & Walker join with Slater & Gordon, and DLA Piper has invested in LawVest, to name just a few.

Commentators have been saying for a long time that the Legal Services Act 2007 will accelerate consolidation among professional firms in the High Street, but few, if any, had predicted significant interest in alternative business structures from firms among the top 100. While recent events seem to confirm there is interest from the larger firms, a survey by Smith & Williamson of law firms found that 34% of the top 100 practices are interested in joining with a non-legal practice in the next two years.* 

While we are unlikely to see magic circle firms
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