Five of the UK’s top-30 law firms have been put into ‘intensive care’ by banks, a top solicitor claimed this week.

Mark Jones, chairman of national firm Addleshaw Goddard, told the second Global Managing Partners Summit conference in London that he fears another law firm failure will occur, in the wake of the high-profile collapse of Halliwells.

He said: ‘I’ve heard from five separate sources now that the banks have put five law firms in the top-30 into intensive care… We have seen Halliwells fail – I regret to say I do not think it will be the last.’

Jones said structural changes in the legal market, including commoditisation and outsourcing, combined with an uncertain economy, were forcing a major correction in the market that law firms must take seriously.

He believes dramatic consolidation is needed among the top-100 firms. ‘There are too many lawyers, and too many law firms,’ he added.