One day, an enterprising author will write a novel after James Herriot, chronicling the exploits of a peripatetic solicitor travelling up hill and down dale to visit immobile clients in all weathers. A fanciful notion, perhaps – but Oxera’s report for the Law Society about the impact of ABSs on access to justice certainly provides food for thought.
Oxera’s findings are broadly encouraging. The likelihood of ABSs reducing geographic access to justice is small, partly because there is currently a large number of law firms relative to services such as banks and post offices. Where gaps do appear, it suggests, vulnerable consumers might best be served through specific remedies such as home visits.
Small firms anxious that ABSs will compromise their viability can also take heart. Oxera’s findings cast doubt on the notion that ABSs will trigger mass closures. The commoditisable services that ABS entrants are likely to provide would put them in more direct competition with large providers. Moreover, small firms have already shown they are able to continue to provide some commoditisable services. They might have to refocus, but they are not an endangered species, in short.
Solicitors interviewed by Oxera did nevertheless believe that ABSs will squeeze small firms out of the market. Are they too pessimistic?
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