Private Equity Eyes Major Investment in Large Law Firms
Law360 reported that private equity investment in UK law firms has largely focused on regional players and consumer-facing practice areas, but 2026 could bring a US-driven shift with investors targeting bigger firms and injecting capital on an unprecedented scale.
While PE houses have pursued buy-and-build strategies in the UK—with notable deals including Inflexion taking DWF Group private for £342 million in 2023—the market is now watching developments in the US Big law firms such as McDermott Will & Emery and New York's Cohen & Gresser said they are exploring selling stakes to private equity groups.
Siobhán Lewington, a partner at Macrae, described the shift as inevitable. "The topic of private equity investment in law firms is now ubiquitous. It's not a question of if we will see major private equity investment in a very large law firm, but when," she told Law360.
For law firms, outside capital offers a way to fast-track technology and AI adoption and to "productize" services. Experts expect PE firms to explore innovative approaches such as minority investment, where external investors take a long-term stake while preserving firm autonomy and culture. The US market's scale and strong business ties with the UK suggest that major PE investment developments in America will likely influence the British market. As one expert noted, "anything that happens in the US normally trickles across to the UK"
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