UKResearch
HSBC survey finds larger UK law firms cooling on mergers and private equity as bank debt dominates
Larger UK law firms are less keen to grow through mergers or private equity investment, though acquisitions remain on the agenda, according to HSBC's annual law firm strategy and investment research reported by Legal Futures on October 14, 2026. The survey of more than 100 senior leaders at firms with turnover from £18 million to £1 billion found bank debt the leading funding route.
Key points
- Leaders actively pursuing growth through mergers fell to 18% from 30% a year earlier.Legal Futures
- Those actively exploring private equity investment fell to 5% from 7%; 40% are still pursuing acquisitions.Legal Futures
- Bank debt rose 14 percentage points to 88% as the top way to fund growth, while private equity fell to 11%.Legal Futures
- AI integration was the top management concern at 73%, ahead of cyber security at 54%.Legal Futures
- Despite their caution, 85% of leaders expect UK law firm M&A activity to rise over the next 12 months.Legal Futures
Sources1 article across 1 outlet
Legal Futures