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Business

Brachers dip in profits after changes to client work

By: Chris Price

Published: 10:00, 11 April 2016

Updated: 10:15, 11 April 2016

Brachers saw a slight reduction in profits and revenues as it made changes to the type of client work it carries out.

Turnover at the Maidstone-based law firm slipped by 1% to £11.9 million, while operating profit decreased marginally to £2.3 million from £2.5 million.

However, it was encouraged by an increase in fee income of 4.1% in the year to the end of April 2015, according to its latest accounts at Companies House.

Brachers managing partner Jo Worby

Managing partner Jo Worby said the firm expected the dip in performance as it focused its personal injury work specifically onto more specialised industrial disease and brain injury cases.

The changes mean it has less work-in-progress, allowing it to reduce the tax it pays on on-going cases.

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Mrs Worby said: “The decline in profit and revenue was a result of a strategic decision to refocus the type of work we take on in our private client division to reflect the markets that we operate in.

“Looking at 2016, I am confident that our client-focused strategy and our investment in innovations and process improvements will add long-term value for our clients and as a consequence an improved financial performance.”

The firm, which employs about 195 people, revealed it is one of a few legal practices in the country to gain full authorisation from the Financial Conduct Authority (FCA) for debt recovery and debt administration.

Partner Robert Thompson said: “Our FCA authorisation ranks as a significant achievement for the firm.”

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