Legal firms see lower turnover into next year
Lawyers are battling with challenges
Scottish legal firms have seen a rise in workload since the early part of lockdown, but turnover and partner returns are expected to remain lower into next year, according to new research.
The Law Society of Scotland has published its second survey into the financial impact of Covid-19 on private practice legal firms. Undertaken six months on from the initial survey, results show that while business has begun to pick up after the immediate impact of lockdown, most firms are still battling against the challenges of the pandemic.
Turnover has improved for most firms from the position they forecast in May 2020 with 70% of firms interviewed reporting a reduced turnover, and 55% a reduced cashflow in the most recent results, compared to 90% and 84% respectively back in May.
Likewise, there has been a drop in the number of firms who are using a recruitment freeze – 45% of respondents in October said their firm had a recruitment freeze, compared to just over 60% in the early part of lockdown.