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  4. Scottish firms hampered by lack of ABS options, chairman warns

Scottish firms hampered by lack of ABS options, chairman warns

14th December 2016 | practice management , professional regulation

The inability to form alternative business structures is placing Scottish legal firms at a disadvantage compared to their English counterparts, leaving them vulnerable to takeover, according to the chairman of private client practice Turcan Connell.

Speaking to the Herald today, Simon Mackintosh, who has headed the firm for the past 18 months, said the firm still supported allowing non-lawyer professionals to become partner, a stance long held by his predecessor Douglas Connell, who has now retired. 

With much of its practice involving tax and investment advice, Turcan Connell last year set up a separate company to handle asset management work, but still believes it would be appropriate to be able to appoint chartered accountant partners. 

Legal firms south of the border have been able to adopt alternative ownership arrangements for the past five years, but Scottish legislation passed in 2010 has never been brought into force. Mr Mackintosh says that with the number of English firms coming into Scotland, this puts the Scottish profession "at a disadvantage" and "must make some firms more vulnerable if they can't diversify in that way".

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