THE LEGAL sector is staging a comeback, with the majority of law firms reporting rising revenues, according to figures published by PricewaterhouseCoopers (PwC).
Of the firms surveyed, 80 per cent reported higher levels of income in 2014 compared to 63 per cent who had seen an improvement last year. This is the highest figure since 2008.
Revenue increases that were greater than inflation were seen at 70 per cent of firms, compared to only 43 per cent in 2013.
Some of this may be due to merger activity, but law firms generally are experiencing a return to growth in the UK, says the report.
Previous surveys have shown that law firms were badly affected by a combination of the economic downturn and an over-supply of firms offering legal services.
The 2014 survey shows that the legal sector has benefited from the economy’s return to growth and consolidation in the market.
“With clear evidence of improving economic conditions, our 2014 Law Firms Survey confirms that a degree of stability and confidence is returning to the legal sector. Corporate activity has re-ignited, with a corresponding uplift in transactional work, and firms are busy again,” said David Snell, leader of PwC’s Law Firm Advisory Group.