Regional firms excel

Regional law firms are not feeling the pinch to the same extent as their City counterparts because they are more diversified, a survey has suggested.

The survey by accountants Grant Thornton of 100 firms around the country of between five and 45 partners found that 44% expected their firms to double in size over the next 12 months, while 50% said their business would remain static.

A further 23% predicted that they would double in size over the next five years, with just 9% seeing no growth in that period.

Roger Zair, head of Grant Thornton's professional practices team, said: 'While the corporate-oriented City firms are facing uncertain times, our survey indicates that outside London, firms are enjoying steady growth.

'Unlike their London counterparts, regional firms usually have a broad portfolio of clients and do not specialise or rely on corporate and merger and acquisition activity to the same extent.

They are, therefore, in a strong position to ride out the downturn.'

The survey also revealed that the legal profession engages in more forward planning than many other sectors, with 85% saying they have a business plan in place.

Mr Zair said it is important to review business plans regularly.