Investment in lawtech has seen incredible growth in recent years. LawtechUK’s biannual Investment Snapshot reveals that between January and June 2025, 27 UK-founded lawtechs secured £116.6 million, almost matching the full-year 2024 total of £139.6 million from 30 companies.
And yet the need for accessible and affordable legal assistance continues to grow. Across key areas of people’s lives, including employment, housing, divorce, and death, a widening gap is evident in access to justice. Recent research published by the Legal Services Board and the Law Society shows that 38% of adults in England and Wales who faced legal issues in the past four years did not receive any legal assistance.
According to statistics, approximately 3.6 million adults in England and Wales experience unmet legal needs each year. These involve disputes that people can’t address because they don’t have the means to access professional advice or information. Overall, gaps in legal service provision represent approximately £11.4 billion in annual economic value. Yet these are not cases that people would bring to law firms or legal practitioners; these are cases that people simply cannot afford to fight.
In employment, a 2023 report by Resolution Foundation found 'unacceptably high levels of non-compliance with employment laws', yet only 6% of private sector employees said they would consider taking their employer to task, deterred by a lack of legal knowledge, the fragmented enforcement system, high fees and a record tribunal backlog of nearly 50,000 cases.
Housing tells a similar story. In England, 3.8 million dwellings fail to meet the decent homes standard, and almost half of private renters report landlord law-breaking.
Meanwhile, the average divorce still costs thousands of pounds and can take more than a year to finalise, with many people foregoing legal advice and losing out financially as a result. In addition, cuts of over 28% to legal aid spending between 2012-13 and 2022-23 have significantly reduced people’s access to advice and representation.
Technology has the potential to transform the delivery of legal services, extending beyond support for legal professionals. It can shape the way consumers receive legal support.
From AI-driven will-writing to plain-language legal tools, lawtech startups are removing friction in solving common legal issues.
- Adeus, founded in 2024, is a digital-first legacy planning startup on a mission to revolutionise the way people protect their legacies. An AI 'will generator' makes it simple and convenient to create and update a legally compliant will online, while individuals can track real-world and digital assets using a digital vault. The startup has recently been awarded a highly competitive Innovate UK Smart Grant.
- Within family law, SeparateSpace is an online platform that uses smart technology to respond to individual circumstances, providing an on-demand, 24/7, personalised divorce companion. Before co-founding the company, Amanda Bell practised as a lawyer at a leading family law firm in London, helping people sort out their financial, property, and parenting arrangements following a separation. After seeing too many people in her personal life forced to navigate divorce without a lawyer by their side, she launched SeparateSpace. Customer testimonials highlight the 'invaluable advice' and 'compassionate support' that the personalised platform provided at one of the most challenging moments in their lives.
- Contend Legal offers an online chat service providing real-time legal help across a range of issues, including housing. The AI-driven chat platform is designed to help individuals affordably navigate everyday legal problems and obtain justice. The company cites one case where it was able to help an individual with their housing issue by offering guidance on communicating with their local council, supporting them by drafting letters and helping them prepare for meetings. Since launching in 2024, Contend has helped over 150,000 people in the UK navigate legal issues with confidence.
- Founded in 2020, Valla helps UK employees navigate employment disputes without the need to hire a law firm. Its AI-supported platform has already helped over 13,000 people in bringing employment tribunal claims, many of whom would otherwise be priced out of legal support.
While over 80% of lawtech companies in the LawtechUK Ecosystem Tracker serve the B2B market, there’s no doubt that B2C offerings have a vital role to play in narrowing the gap in access to justice between the ‘haves’ and ‘have-nots’. These services, far from undermining the sector, provide a vital lifeline for individual consumers at some of the most difficult times in their lives.
As investment in lawtech continues to grow, we must not forget that individuals are at the heart of the industry, nor should we underestimate the impact that purpose-driven innovation can have on the lives of those who are most vulnerable.
Christina Blacklaws, a former Law Society president, chairs the LawtechUK Panel
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