UK legal sector turnover increases
Office of National Statistics publishes latest data on UK services sector
The Office of National Statistics (ONS) published its latest figures on 10 February on the turnover of the UK services sector, which includes the legal services sector. The ONS statistics show that the turnover of the UK’s legal services sector was £4 billion in December 2022, which is an increase of 6 per cent from November 2022.
In comparison, according to the figures, the UK services sector generated a turnover of £223 billion in December 2022, which is 7.5 per cent lower than the turnover in November 2022.
Julie Norris, Regulatory Partner, Legal Services at Kingsley Napley LLP said, “The UK’s legal industry has remained incredibly resilient despite the wider UK economy struggling. This is probably due to demand in areas like litigation, insolvency and employment, given the economic context. Since macro forecasters suggest the year ahead is unlikely to be plain sailing, firm leaders would be wise to remain cautious in their business planning and focus on demonstrating value and cost-effective services when meeting clients' needs.”
The latest set of ONS data also reveals that the UK economy showed no growth in the final quarter of 2022, and decreased by 0.5 per cent in December. This means that the UK has only just avoided a recession, which requires two consecutive quarters of contraction to be officially declared.
Chancellor of the Exchequer Jeremy Hunt said, “The fact the UK was the fastest growing economy in the G7 last year, as well as avoiding a recession, shows our economy is more resilient than many feared. However, we are not out the woods yet, particularly when it comes to inflation.”