Unsung heroes of the City – why London's businesses should listen when lawyers speak
CLLS' Alasdair Douglas makes the case for why corporates in the City should give weight to lawyers' advice
July 27, 2011 at 07:03 PM
4 minute read
City of London Law Society chair Alasdair Douglas makes the case for why corporates in the City should give weight to lawyers' advice
My job is to promote our sector and create more opportunities for City firms and our lawyers. One part of this is to make sure our opinions carry weight with those who influence our sector – first, the government, but also with policy makers in the European Union, regulators, the press and business leaders here and abroad.
The national Law Society does a good job representing solicitors generally and helping the City firms on specific issues, but we need a distinct City of London Law Society (CLLS) voice which is not lost in the debate on cuts to legal aid or among the consumer issues which the Law Society and Ministry of Justice focus on. Ours is a very different legal services market to the one that Ken Clarke would recognise from his in-tray, but while we don't vex him or other ministers (I hope), it doesn't mean we wouldn't mind a bit more consideration if we ask for it.
Why should the government, or anyone else, listen to what City lawyers have to say? The short answer is that our business is important to the UK economy.
We make a world-class product – applied English law. It is made in the City, exported around the world as the law of choice, and often heard back in the London courts as the international language of dispute resolution. Our business creates employment in London and abroad and generates economic activity in the UK which would otherwise go elsewhere.
We pay our taxes and don't make calls on the public purse. We are one of the few sectors of industry where British business excels on the world stage. All this is really good news for the UK Treasury, so the government should care about nurturing our success and, where possible, helping us become even more competitive internationally.
In addition to our direct contribution to the UK economy, our members do a huge amount of the work that enables the City to function. Put another way, without the lawyers and the law, the City could not function. That's important, but mostly overlooked when the financial headlines are written.
City firms support 18 specialist CLLS committees made up of some of the leading lawyers in company, competition, financial, regulatory law and so on which look at the development of English law to make sure it is fit for purpose. The committees provide a resource for policy and law makers, alerting the government and business to legal and other issues which might affect the UK economy and trawling through new legislation to try to get it right – all free of charge! Their work is largely unsung, but their contribution is significant in keeping London at the forefront as the premier global financial centre.
So on two counts – our contribution to the UK economy and the role we play in the functioning of the City – I would argue that we have a legitimate claim to be listened to when we have a view on things we think are important, such as opening up foreign markets and, more parochially, better regulation.
Finally, I'm also keen to start making the case for our having a more public voice in business affairs generally. For too long, the myth has done the rounds that lawyers are not 'commercial' and we have lost ground as business advisers to the accountancy firms. A senior private equity player recently told me that the best commercial advice she ever had was from a lawyer and we would do well to make more of our skills and experience.
We own and run our own businesses, which include some of the most successful in the world in our sector. We can probably teach a few other industries about investment for the long term. In the US, the views of lawyers are influential because their knowledge, judgement, analytical skills and wide experience is valued. There is no reason why this should not be the case in the UK.
Ours is a story of great British success. Is anyone listening?
Alasdair Douglas is the former managing and senior partner of Travers Smith and is the new chair of the City of London Law Society.
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