Case for change: how London’s legal sector is embracing transformation

London’s legal sector is facing a moment of transformation. In the wake of large US firms investing heavily in the UK capital, the competition for legal talent is hotter than ever. In response, firms are reimagining their workplace strategies to create destinations that act as a magnet, whilst also managing the pressures of rising real estate costs, upcoming break clauses in tenancy agreements, and the looming disruption of AI.

It was against this backdrop that more than 100 representatives from law firms, workplace strategy, design and technology gathered at HFW’s offices in 8 Bishopsgate on Wednesday 17th September for WORKTECH’S latest Legal Workplace London event.

What emerged was not an industry that is not staunchly traditional or averse to change, but a sector that is curious and open to transformation – just so long as the facts are there to back it up. While there was a huge amount of optimism and appetite for change in the room, the event wasn’t without a sense of caution, and this was reflected in the core themes that emerged throughout the day.

AI comes at a cost

Artificial intelligence ran through the eventw like a fault line. Burgess Salmon’s Tom Whittaker and Anna Taylor pointed out that AI is already shifting legal culture by forcing multi-disciplinary teamwork. Lawyers, they argued, don’t all need to become AI experts, but they must know how to frame the right questions and partner with ‘specialists’ who can build the answers.

As AI evolves, so does its impact on the legal sector. Elisa Rönkä of Johnson Controls presented Gartner research forecasting that, by 2028, a third of enterprise software will use Agentic AI – autonomous systems that can act without prompts. For the legal sector, that could mean fewer junior lawyers conducting routine research and drafting, a decline in the billable hour, and a shift to outcome-based pricing.

Rönkä suggested that the future law firm may be comprised of a smaller, but more tech-savvy workforce.

Apprenticeship at risk

If AI is automating the grunt work, what happens to the traditional training ground for junior lawyers? Joseph Durow presented survey data from Gensler’s US and UK legal research which found that partners are in the office up to 54% less than juniors, eroding the visibility and mentorship that once came naturally.

Jeremy Myerson, Chairman of WORKTECH Academy, revisited the four models of the future legal workplace first set out in a 2020 report with BVN and Cushman and Wakefield, reflecting on how the industry has evolved in the years since. While the Magnet, Matrix and Mutual models each continue to shape strategies around employee experience, technology and surplus space, it was the Mentor Model that stood out as particularly urgent.

With hybrid working eroding the traditional apprenticeship system, Myerson warned that law firms must take a more deliberate approach to nurturing the next generation of talent by designing policies, programs and spaces that actively support learning, collaboration and knowledge transfer between partners and junior lawyers.

A new approach to design

The workplace is emerging as a crucial tool in reshaping culture. Both HFW and Baker McKenzie shared case studies of how they’ve redesigned space to reflect – and set the agenda for – new ways of working.

For HFW, the move to 8 Bishopsgate meant reducing its footprint by 25% and swapping a fully cellular office workplace for flexible, unassigned seating. The payoff was a 10% productivity rise with better collaboration and nine out of ten staff saying the office now reflects the firm’s values.

Baker McKenzie’s new office at 280 Bishopsgate introduced unassigned seating and team-based neighbourhoods, connected by a large central staircase designed to foster chance encounters. As Rachel Slade, Head of Change Management, explained, the process worked by asking lawyers not what they wanted, but what wasn’t working – shifting the focus to solving real pain points.

A panel moderated by JLL’s Guzman de Yarza stressed the importance of cultural nuance in workplace strategy. Guzman was joined by Simon Ryan of CMS, Anne Wilson of Clifford Chance, Anna Taylor of Burgess Salmon, Rachel Salde of Baker McKenzie and Darren Mitchell of Simmons and Simmons. The discussion centred on global nuances and creating spaces that provide such a great experience that they don’t evoke the answer ‘why should I?’ when people are asked to come into the office.

Push for performance

Underpinning all these discussions was a sharper focus on performance. Research by SPS and WORKTECH Academy revealed that nearly 70% of legal professionals would consider leaving a firm because of an inefficient workplace. Only 23% said their offices actively support their productivity, so the stakes are high.

To start measuring the performance of a workplace, the conversation needs to move forward. Claire Ward, Chief Innovation Officer at SPS, and Mike Forshaw of HFW discussed what performance looks like today. As Ward put it, ‘performance is not about presenteeism, it’s about outcomes.’

The big picture

The day’s conversations suggested that London’s legal sector is at a pivotal point. But firms in the city are taking decisive action. In the debate around cellular versus unassigned seating, it’s clear that firms are investing heavily in more open environments. In the discourse around AI’s impact on the legal sector, many firms have decided to embrace elements of AI and invite it into their workflow.

In the conversation about performance, firms are putting more support behind mental wellbeing, so that legal workforces can operate in a state of flourishing rather than languishing, as a closing keynote by David Dewane of Geniant put in.

Above all, one thing was clear: law firms that cling to tradition risk being left behind. Those that embrace change – through smarter use of AI, more human-centred design, and a relentless focus on outcomes – will define the future of the legal workplace in London.