What is the apparent interplay between economic growth and legal services?
Industry analysis shows that growth in employment in other industries is symbiotic to growth in legal services. There are an estimated 370,000 people in the UK employed in legal services and 67 percent of these are solicitors or owe their employment to solicitor firms. Legal services in the UK have been growing at a rate of 3.3 percent as compared to the general UK economic growth rate of an estimated 1.2 percent. One can extrapolate and deduce from this data that growth in legal services precedes growth in other sectors of the economy.
The role of law in developed economies
A majority of the business activities that get executed daily in developed economies cannot get done in isolation of legal services. Databases from London solicitors’ firms show that a majority of their clientele have routinely engaged the firms’ services in dealing with a wide range of issues like settling commercial disputes to complex issues that deal with immigration and taxation. The data paints a picture of the deeply entrenched interplay between business and legal services that are existing today in modern economies.
There are always opportunities to exploit in a developed economy – and entrepreneurs see such opportunities as an excellent way to grow. However, the available opportunities can only get exploited sustainably if the limits of the law governing such opportunities guide the business process. The importance of legal expertise to a business at such times precedes bounds that are not routinely considered.
The role of solicitors
Political welfare is key in driving growth in the economy but the uncertainties and changing terrain of laws makes it important to have a reliable interpretation of the law. The services of a legal solicitor help business organizations with such needs. In the UK, leading London solicitors’ firms have over the decades offered excellent legal services to their clients with a high degree of reliability. Such solicited services ensure the fair and just engagement of their clients with other stakeholders. Legal and expert services are necessary for businesses because of the complex nature of legal frameworks that business organizations may find difficult to understand.
In the normal functioning of the industry, politicians determine the structure of the legal system in the UK. The judiciary contributes to this environment by determining how the enacted laws get applied and implemented. In everyday business, it is the lawyers who play the most significant role by representing business organizations as some of the most affected stakeholders. The importance of this can only get appreciated by reflecting upon the challenges of the struggle that businesses undergo in securing quality lawyers. As unexpected as this may sound, this is a problem that happens even in the most evolved and complex legal systems.
Conclusion
The legal sector has wide-ranging impacts on the economy. The institutional architecture that guides trade and commerce heavily relies on legal services to function effectively. To facilitate effective economic growth calls upon marrying the services of solicitors with business organizations in a way that recognises the important input of every sector.