Lauren Evans, Associate, reviews the East Midlands legal market 2024 and shares her outlook for 2025
From Lauren Evans
After a year of relative stagnation in 2023, the legal market in the East Midlands has shown signs of revival in 2024, with a growing sense of optimism across several key sectors
As the economy stabilises, both transactional and contentious areas of law have picked up, with real estate and corporate law being noticeably more active. Recruitment activity in the region is gaining momentum, and law firms are starting to hire again, particularly for mid to senior-level positions.
Key developments
The East Midlands legal market has seen a recovery in transactional practices, with real estate and corporate law benefiting from increased activity in both residential and commercial development. Residential development work, in particular, has surged, fuelled by growing demand for housing, while commercial real estate has also seen a rise in activity, albeit at a slower pace. This is a welcome change after a prolonged period of uncertainty.
While real estate and corporate law dominate, there is still steady work across other key practice areas.
Property litigation has maintained its strength, particularly in housing disputes and landlord-tenant issues.
There has also been growing demand for family law practitioners, especially those specialising in divorce and financial settlements, as cost-of-living pressures continue to affect families in the region.
Corporate recruitment has been robust in the East Midlands, particularly for mid-senior level lawyers.
The start-up and SME sector continues to thrive, driving demand for corporate lawyers with M&A and venture capital experience.
However, recruitment for newly qualified (NQ) solicitors has been more challenging, with fewer opportunities available and intense competition for the limited vacancies on offer.
Employment law has also seen increased demand, as businesses adapt to post-pandemic workplace regulations, including hybrid working arrangements and changes to employee rights.
Construction law remains strong, with particular demand for lawyers with expertise in large-scale infrastructure projects, but private practice firms face competition from in-house teams, which continue to expand.
In-house recruitment remains a growing trend, with legal teams in the region increasingly recruiting from private practice. This trend has resulted in a slight decrease in the proportion of lawyers working in law firms, as in-house teams offer more competitive salaries, improved work-life balance, and career progression opportunities.
Salaries
In terms of salary levels, the East Midlands legal market has remained relatively stable, with some firms offering incremental increases to remain competitive with larger firms in London and other major cities.
Smaller regional firms have made notable efforts to increase salaries in key areas like real estate and corporate law in order to retain top talent and compete with the larger players in the market.
The rise of in-house legal teams across sectors like retail, manufacturing, and logistics has driven up the demand for experienced corporate and commercial lawyers in-house, further contributing to the shift from private practice.
Recruitment is becoming more competitive, especially for mid-senior roles, with firms in the East Midlands focused on securing Legal Director and Partner-level hires to lead their practices forward. With fewer NQ opportunities, recruitment for junior lawyers remains relatively slow, but there are signs that this will improve as firms start to plan for expansion in 2025.
M&A and expansion
One key trend for 2024 has been the increased number of mergers and acquisitions involving East Midlands firms.
Several regional players have announced growth strategies through mergers or lateral hires, allowing them to compete with larger national players and expand their regional footprints.
For example, local firm Nelsons recently bolstered its team with a significant hire in real estate, while Freeths continues to expand its corporate and commercial offering. Notably, Nottingham-based Rotheras Solicitors LLP and Leicester-based Bray & Bray Solicitors merged on 1 October, becoming Rothera Bray LLP, enhancing their regional presence.
Firms like Gateley, which have long had a significant presence in the East Midlands, have also been strengthening their position in the region by acquiring other smaller firms and expanding their service offerings. This has helped regional firms build strength in key practice areas such as corporate law, real estate, and litigation.
Furthermore, UK and Ireland law firm Browne Jacobson has secured the number one position alongside PwC in the Social Mobility Foundation's prestigious Social Mobility Employer Index for 2024, reinforcing the firm's commitment to fostering diversity and inclusivity within the legal sector.
Outlook for 2025
Looking ahead to 2025, the East Midlands legal market is expected to continue its positive trajectory, albeit with a few challenges.
Growth is expected to remain strong in real estate and corporate law, particularly in response to increased demand for housing and infrastructure projects. Law firms are likely to continue emphasising technology adoption, particularly AI, to drive efficiency and reduce costs.
In terms of recruitment, firms are likely to keep the pressure on hiring at the senior level, especially in corporate, real estate and construction law, with an emphasis on attracting experienced professionals who can support firm growth. The demand for NQs may increase slightly, although competition for those roles will likely remain tough.
Overall, the outlook for the East Midlands legal recruitment market in 2025 is cautiously optimistic, with further growth and a focus on developing new business opportunities and talent strategies.
The region will likely continue to be a key area for legal recruitment, with firms investing in technology, talent, and client service to strengthen their positions.
