Law firm bolsters board to further ambitions

Yorkshire’s biggest law firm, which has 1,300 staff at its offices in Leeds and Sheffield, said Andrew Merrick will join in April as its chief financial officer.

Mr Merrick joins after about five years with Leeds-based transport and aviation group Dart, which owns budget airline Jet2.com.

His appointment follows Irwin Mitchell becoming the first multiple-licensed Alternative Business Structure (ABS) law firm in April. The firm has said it could seek external investment, possibly through a stock market flotation or private equity investment.

It has been bolstering its corporate governance by appointing a full board.

Irwin Mitchell chief executive John Pickering said: “This is another very high quality appointment which again shows our ability to attract the best people from beyond the legal sector.

“We are now an ABS and have an established corporate structure in place.

“This senior appointment is reflective of the growth and development of Irwin Mitchell as a major law firm and we have well-defined plans to accelerate that growth further.

“Andrew brings with him significant experience in leading the finances of a corporate business and this will be a vital addition to an already strong senior management team.”

Mr Merrick’s appointment follows that of Glyn Barker, former vice-chair of PWC UK, as chairman and Mel Egglenton, ex-KPMG, as a non-executive director.

ABS was introduced as part of the Legal Services Act, which allows outsiders to take equity stakes in law firms for the first time, creating major opportunities for expansion.

Irwin Mitchell said it has big plans for growth under the ABS model, including adding new services – but declined to comment further on the specifics. It bought debt-collection firm PDP Management Services in October for an undisclosed sum.

Earlier this year Mr Pickering said it was too soon to say which route it would choose, but it could float on the stock market or sell a stake to private equity investors.

Dart Group said in a statement: “We are grateful for Andrew’s continuing valuable contribution to our growth and development. Recruitment of a replacement will commence shortly.”

Irwin Mitchell was among the first applicants for ABS status when the Solicitors Regulation Authority began taking applications in the first week of January.

It has been granted five licences by the regulator, covering a range of businesses across the group.

The five licences granted to Irwin Mitchell cover businesses operating separately within the firm’s group structure, including Irwin Mitchell LLP; Ascent Collections Ltd which offers field agency and debt collection services and Coris UK Ltd, which offers international assistance and insurance claims handling services.

Further licences were also granted to Irwin Mitchell Trustees Ltd, which accepts appointments as a trustee, executor and estate administrators, and also to Irwin Mitchell Trust Corporation Ltd, which accepts appointments to act as deputy from the Court of Protection.

Mr Merrick, an accountant by training, did not return calls for comment.

An Irwin Mitchell spokesman said Mr Merrick brings “new skills” and is “one more piece of the jigsaw”.

Act paves way for shake-up

The 2007 Legal Services Act came into force in October 2011.

It introduces major changes to the sector – such as allowing non-lawyers to own or take stakes in law firms, and permitting non-legal companies including supermarkets and banks to enter the sector.

This deregulation allows the creation Alternative Business Structures (ABSs) – a departure from the traditional partnership or LLP model.

Other firms to opt for ABS include The Co-operative Legal Services – a branch of the member-owned retail to banking co-operative.