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UK Law Firms Tighten Grip on China Amid Regulatory Hurdles

Financial Times Companies •
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London’s flagship law houses, including Clifford Chance and Freshfields, have pushed deeper into mainland China by forming joint‑venture offices that comply with Shanghai’s strict partition rules. These moves come after Prime Minister Keir Starmer’s January visit, which highlighted a UK‑China feasibility study on services trade.

Despite the high‑profile approvals, the sector faces ongoing delays in appointing chief representatives and strict office‑layout mandates that split foreign and domestic spaces. Mark Evans, president of the Law Society, warned that the regulatory climate has not improved markedly in a decade, and that many UK firms still struggle to generate profitable work in China.

Investors face a mixed outlook: while UK firms are well‑positioned to advise Chinese clients on cross‑border deals, competition from local firms with lower fees and a growing independent market abroad threatens their long‑term expansion plans.