2019 saw tremendous growth and significant developments in the legal sector which are predicted to continue growing throughout 2020. A recent report revealed that the industry’s revenue is increasing by 6% every year.
So what is behind the growth in the sector and what are the implications for the future of individual firms?
Why has the legal sector grown?
Without a doubt, the development of technology has played a significant part in the legal sector growth. Lawtech includes technologies to support, supplement or replace traditional methods for delivering legal services.
Lawtech provides many benefits to the legal sector. They have been proven to accelerate growth by increasing efficiency, productivity, reducing costs and providing better results to both customers and organisations. It has also made legal services accessible to everyone through legal firms offering more competitive prices thanks to technology. The rise of Lawtech has also levelled the playing fields in the legal industry. It allows smaller legal firms to compete with larger organisations by using automation software and research tools.
Other reasons for the growth include investment. The government granted a fund last year to drive innovation and help the legal sector grow. The funding was given to Tech Nation to support the digital transformation of the UK legal sector until March 2022. Tech Nation plan to use the funding to support the development of growth and identify any barriers that may prevent future plans for the legal sector.
Because of a considerable peak in investment, the UK has seen a huge increase in Lawtech startups over the past few years.
What will the future hold for the legal sector?
Due to its rapid growth and success, investment in Lawtech will likely continue to rise over the coming years. Law firms, private equity and venture capital funds are all expected to play a part in attracting future funding.
It is predicted that Lawtech will bring further improvements to legal processes through automation, resulting in lower costs and enhanced outputs.
Lawyers will continue to benefit from the freed up time that technology provides. It allows them to add value through their expertise in practising law and offer clients more competitive prices for their work.
The importance of protecting your IT systems
With the legal sector rapidly moving towards a technology-driven future, it’s more important than ever to remain aware of the latest developments. It’s also crucial that you protect your IT systems sufficiently against the threats that new technologies can bring to avoid damaging your business reputation or suffering from financial loss. In addition, you could face legal repercussions if your IT systems are compromised due to the sensitive and personal information that you are responsible for holding.
City Business Solutions IT protection services will give you access to the knowledge and technology you need to protect your business from threats effectively. Our vast experience means we are familiar with the different security risks facing those in the legal sector. Contact us to find out more about our proven security solutions.