Legal services help to stoke economy's engine room

Lawyers are matching accountants and management consultants in their contribution to the UK economy and its overseas trade surplus in financial services, figures have shown.

A report by International Financial Services London said that legal services make 'a substantial economic contribution', representing around 1% of gross domestic product in 1998, the last year for which full figures are available.

Gross fees for the profession in that year were 8.6 billion.

Accountants managed a similar amount, while management consultants produced 0.9% of GDP.

Management consultants just edged out lawyers in their net overseas earnings - 894 million in 2000 compared to 851 million - with accountants trailing at 572 million.

The report said that around 220,000 people are employed in legal services in the UK, compared to 180,000 in both accountancy and management consultancy firms.

There are a further 110,000 qualified accountants working in business and the public sector.

The report found that the UK's overall trade surplus for financial services increased by 300 million in 2001 to hit a record 14.1billion.