The latest Gross Legal Product (GLP) Index Report from LexisNexis is an interesting read, with the data showing that the post-pandemic legal bubble is under pressure and the research predicts the legal market's slowing down for 2024.
Despite exceptionally challenging market conditions over the past three years, the Index revealed that legal demand grew by +22% in 2021, +3% in 2022 and is expected to grow by +6% in 2023.
Areas of law and predictions (2023 v 2024)
- Property + 7%
- Immigration + 7%
- Insolvency & Restructuring + 6%
- Criminal - 3%
- Employment - 2%
- Commercial + 4%
- Family + 3%
- Competition - 5%
- Corporate - no change 0%
- Tax + 2%
- Private client + 3%
Dylan Brown, report writer and investigator at LexisNexis
"Considering the geopolitical and macroeconomic headwinds that have battered the professional services industry for the last 18 months, subdued growth is an overwhelmingly positive message to be sharing. Recent growth speaks more to the legal sector's resilience, ability to innovate when needed, and drive to power forward than it does to its impregnability."
"Margins are becoming tighter. So, there is also a very real risk of lawyer burn out as targets increase and the partner track presents greater risk. Firms need to continue investing in infrastructures that support their people rather than work against them.”
Elaine Pasini, Head of Communications at the ILFM said of the findings within the report,
"We hear from our legal professional members that margins are tight and yet the pressure is still on. With hybrid working now the normal in many legal practices across the UK, the imbalanced mixture of workplace culture requires a greater need for transparency, together with exceptional internal communications to ensure all employees feel heard and are working towards the same goal."
"Access to continued development and training plus practice wide understanding of well-being is vital to mitigate employee burnout. When employees feel undervalued and overstretched, this is when cracks appear and mistakes are made. Risk management helps with a firm's bottom line."
Please link to the gated report HERE >>> https://www.lexisnexis.co.uk/research-and-reports/glp-index-2024.html
- end -