Conveyancing sector reports profits increase
A new study has revealed that the Conveyancing sector reaped the benefits of bumper profits in 2015, thanks to a significant increase in average fees.
The figures, which come from a recent financial sector survey, found that law firms specialising in both residential and commercial conveyancing both benefitted from fee hikes.
Residential conveyancing fees were up 15.4 per cent, while fees in commercial conveyancing rose by 8.7 per cent, according to the study.
Other sectors however, saw an opposite plight. Ex-Chancellor George Osborne’s ‘crackdown’ on rules surrounding personal injury claims may have dampened their margins, with a 5 per cent drop in income.
A number of experts have said that the boost is attributed to a surprisingly strong UK property market.
“Conveyancing firms are enjoying a buoyant economy in which both residential and commercial property work is flourishing,” said Law Society and Law management committee member, Nigel Haddon.
“A word of caution is appropriate though. Many firms I’ve spoken to this year have remarked on a slow-down, perhaps caused by uncertainty following the Brexit vote, by increases in stamp duty in the buy-to-let sector, or just a sense that we may be not far from the end of this cycle,” he added.
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