The Institute of Legal Finance & Management (ILFM), by default, boosts socio-economic diversity through our qualifications and training into UK Law Firms.

The majority of our students who come through the ILFM to study legal finance have not had the opportunity to attend university, or even an inclination to do so, yet at the same time hadn't realised there are different pathways into law and accounting that are more affordable and accessible to them.

We strongly believe that no matter what anyone's social-economic background is, they should have the opportunity and accessibility to work and build their careers in this extremely rewarding profession. Whether it's acquiring the education and skillset to head into legal practice through fee earning, legal accounting, or management there are various routes to reach their potential.

What is Social Mobility?

While the profession is working hard to take the challenging but necessary steps to improve diversity, data from the Solicitors Regulation Authority (SRA) shows that socio-economic diversity is an area that needs urgent focus and action.

SRA data from 2021 on socio-economic background in law firms look at parental occupation at age 14, school type and parental qualifications:

• 23% of solicitors attended a fee-paying school (compared to 7.5% nationally)
• 58% come from a professional background – meaning their parents were in occupations classified as professional rather than intermediate or working class (compared to 37% nationally)

ILFM Opinion on Boosting Social Mobility in the Legal Profession

The news that Slaughter and May have announced their aim to increase the representation of lower socio-economic background (LSEB) individuals in the firm is spreading the word to the wider legal profession.

Slaughter and May targets are:

• Total population to 25% by 2033 from a baseline of 18.8%
• Lawyer population to 15% by 2033 from a baseline of 10%
• Business Services population to 40% by 2033 from a baseline of 34.7%

Class and socio-backgrounds in the UK are evident. There is still an impact on access to learning and development and feeling a sense of belonging in our industry. Pomposity is sadly still rife.

Routes into the legal and finance professional services

Just because someone is from a working-class background does not equate to intelligence or academic prowess.

Representation in the legal and finance profession for working-class backgrounds is far and few, although it is getting better because of more accessible routes into law via apprenticeships, better parity for CILEx lawyers, ILSPA’s qualifications for legal secretaries and studies in areas of law, and affordable access to qualifications and studies in legal finance with the ILFM.

How does your firm take accountability for taking steps toward a more diverse legal profession?

Perhaps your firm could collect data on existing employees as well as new recruits.

From research through the 93% Club, “retention” is key to delivering a thought-out and measured plan of action for a diverse background of staff. Big law has a high attrition rate, particularly for working-class lawyers and professionals in law firms who don’t often feel like they belong. How can law firms embrace new diverse talent that is grounded and understands client costs of living for example?

Grounded people who are trusted and can empathise are worth their weight in gold.  

Since the dawn of the Legal Services Act 2007, when the main regulator was born - Legal Services Board (LSB) - the aim has always been to offer consumers of law a fairer way of gaining legal advice.

Prior to the Act, non-lawyers were not allowed to own businesses supplying legal services. Since the Act came to fruition, the legal profession has seen more business models, including investment and contributions from accountants and business strategists. This has opened up a fairer, and more competitive market, which is great for consumers of law, as well as having progressive leaders looking at the way their staff are retained and feel valued.

Law Firm Social Mobility

One of the regulatory goals of the LSA is to encourage an independent, strong, diverse and effective legal profession, meaning attracting those from non-traditional backgrounds to improve social mobility. The Legal Services Board (LSB), and approved regulators, share this objective and recognise the need for a diverse workforce that reflects the society it serves and can respond to the diverse needs of a diverse range of clients.

Legal Services Board (LSB) and Diversity

The LSB has acknowledged that progress in increasing diversity at more senior levels has been disappointing and that more needs to be done by regulators in a systematic and targeted way.

The ILFM has always been forward-thinking whilst advocating alternative routes for young people to gain access and qualifications into the legal profession, not just senior levels. As a professional body for community membership of those in law firm support roles, the ILFM works tirelessly to raise reputational standards and improve access with its social mobility initiative.

The LSB believes that transparency can act as a powerful incentive for businesses to improve their recruitment and promotion processes and encourage applicants from all backgrounds, and that includes the financial aspect of running the law firm business.

Overall, the LSB has introduced measures aimed at increasing diversity and social mobility in the legal workforce.

“Education and training pathways are the gateways into the legal sector, and the LSB will play its part in removing barriers and creating an inclusive profession everyone can all be proud of.”

Matthew Hill, CEO of the Legal Services Board

When it comes down to it, clients are vital for law firm cashflow. In this digital age, consumers of law can check on a law firm's reputation and the way it looks after its staff, the way it promotes diversity and inclusion, and the competition around it, just by a quick Google search and review check.

Do read our case studies as to how the ILFM has positively impacted professional development in the legal sector.

Case Study - Scholarships

Case Study -  Legal Finance Compliance Officer

Case Study - Legal Accounts Manager

Case Study - Law Degree & Legal Cashiering

Case Study - Legal Finance Director

Please get in touch with us if you’d like to know more about the ILFM does in the legal sector and beyond.