LG and Field Fisher Waterhouse partners could vote on a proposed merger between the two firms as early as next month.

The pair have been in talks since October last year, with the vote expected to take place later this summer, assuming talks continue.

A proposal outlining detailed terms of the deal, which would take the form of a full financial merger, is likely to be issued to partners within the next month, with the vote to take place shortly after.

If the deal goes ahead, Field Fisher would move out of its Vine Street office into LG's premises at More London Riverside, with LG having enough space to take on all staff from Field Fisher in London.

A merger between the two firms would create a combined entity with turnover of more than £150m, placing it just outside the UK top 20. Profits per equity partner stood at £510,000 at Field Fisher in 2010-11, compared to £412,000 at LG.

Field Fisher has called in accountancy firm Grant Thornton to conduct due diligence on LG, with LG also instructing an accountant.

LG, which has been seeking a UK merger for some time, has around 74 partners including 37 full equity partners who are spread across a nine-level ladder, based on both lockstep and merit elements.

Field Fisher had 140 partners on 1 May 2011, of which 45 were full equity partners. The firm's equity ladder runs from two to 10 points, with partners moving up or down each year according to individual performance.

One ex-LG partner commented: "It would actually be a really interesting merger because they have very different strengths, so they will be able to avoid the unhealthy competition and fallout that happens when firms with similar practice strengths merge."