Guest column: Fran Eccles-Bech – legally, Manchester is the second city
THE impartiality, integrity, quality and depth of experience of legal services in Manchester and the North West are a cornerstone of the broader financial and professional services cluster.
Manchester continues to attract new firms, foreign investment and the best talent by sending a clear message that it is a genuinely competitive and world-class place to do business.
The legal services market has shown resilience during recent years and has emerged from the recession leaner and more efficient. After a period of moderate growth during adverse economic conditions the sector is seeing a pick-up in business volume and confidence.
The market for legal services in the UK is highly competitive and nowhere more so than in Manchester. The current market conditions are driving consolidation and new entrants from outside the legal profession are developing plans to participate in the sector.
Alternative providers, such as the Big Four accountants and insurers, are the biggest threat to the legal profession in Manchester today.
This has resulted in the emergence of innovative business models for the delivery of a range of legal services and law firms are continuing to maintain tight control over costs by improving operating models, moving lawyers between practice areas, tightening management controls and an increasing reliance on paralegals and other non-qualified staff as one of the best prospects for improving profitability.
Thanks to law firms increased reliance, paralegals are emerging as a distinct professional group in their own right. The heavy cost pressures imposed on law firms by clients demands for lower fees makes hiring paralegals a very attractive option and there are now many more paralegal roles out there than training contracts and NQ positions so it has to be said that working as a paralegal to gain work experience for a training contract or even qualify as a solicitor through the equivalent means route is valid and sensible (but not necessarily a guarantee of success).
It is the professions role to ensure that the “fourth arm of the legal profession” becomes a strong, outward thinking and innovative professional group that can deliver accessible legal services more efficiently, in line with client needs and the nature of the work and levels of expertise required.
Meanwhile, firms are more likely to eye growth from investment in technology and hiring established teams of lawyers, rather than merging with other firms and many firms are investing heavily in commoditising aspects of legal work.
Top law firms have chosen to set up offices in Manchester, attracted by the talent, expertise and market opportunity that the city offers. Clearly these law firms recognise that Manchester is the UK’s largest regional legal centre and is attractive not only from a market perspective but more innovative client service models and the pool of talent that the city has to offer.
So far Manchester has achieved much success in attracting firms such as BLP, Nabarro, Latham & Watkins and now Freshfields Bruckhaus Deringer, which coupled with expansions from regional firms such as Riverview and Canter & Jackson, is producing significant market growth.
The provision of legal services by high-street firms also continues to evolve as they recognise the need to adapt, drive efficiencies, and differentiate themselves through a consumer-focused service.
A recent survey by polling organisation YouGov found that Manchester should be the UK’s second city. That’s probably not a surprise to many but it’s just more evidence that the future of the Manchester legal scene looks very bright.
Fran’s column is part of our coverage of this year’s Legal 500, to be published as a special report later today.
