Private Client Work Named Most Profitable Area for SME Law Firms
New Bellwether Report highlights profitability, growth confidence and operational pressures across the legal sector
Private client work — including wills, probate, tax, trusts and estate planning — has been identified as one of the most profitable practice areas for small law firms, according to the latest Bellwether Report from LexisNexis.
This article is based on reporting by Today’s Wills and Probate.
Private client work continues to perform strongly
According to the Bellwether Report 2026: Lean, focused, profitable, private client law was cited as the most profitable area of work by 42% of respondents, alongside litigation and dispute resolution.
The findings reinforce the continued importance of wills, probate, trusts, estate planning and tax advisory work within the wider legal services market.
For many firms, private client work remains a cornerstone of both profitability and long-term client relationships.
However, the report also warns that many firms are finding it increasingly difficult to protect margins due to capacity pressures, staffing challenges and inefficient delivery models.
Pressure on firms continues to grow
Talent retention and recruitment are becoming increasingly significant challenges for SME law firms.
The report found that:
- 27% of firms cited difficulty attracting or retaining talent;
- 25% identified capacity and resource constraints as barriers to growth;
- 25% pointed to pressure on profit margins.
Administrative inefficiencies were also highlighted as a major operational issue.
More than half of respondents identified administrative tasks as their biggest workflow inefficiency.
Case management and document drafting were also frequently cited as areas where firms lose valuable time and profitability.
Technology and AI are reshaping delivery models
The report suggests many firms are reassessing traditional ways of working, particularly in response to developments in artificial intelligence.
Fiona O’Mahony, Head of Sales and Partnerships at the Law Society, noted that firms are increasingly exploring alternative pricing structures and more value-based approaches to client service.
“While hourly billing remains common, more firms are exploring alternative fee structures and value-based pricing that better reflect client expectations and outcomes.”
Looking ahead, the top planned operational changes over the next 12 to 18 months include:
- greater use of AI in drafting, research and review;
- standardising workflows and documentation;
- more disciplined operational growth.
Growth confidence remains strong
Despite operational pressures, many small firms remain optimistic about growth.
The report found that:
- 62% of firms said they are growing;
- only 4% reported declining revenue;
- growth is being seen across multiple practice areas, including private client work.
LexisNexis suggested that growth is not isolated to one section of the market, with private client firms reporting growth levels comparable to employment, commercial, litigation and property practices.
Client relationships remain a key strength
One of the strongest themes throughout the report is the importance of client relationships and personalised service.
Firms highlighted several competitive strengths, including:
- strong client experience;
- consistent points of contact for clients;
- diverse internal skill sets;
- positive firm culture;
- healthy work-life balance.
“Growth isn’t just about taking on more work anymore. It’s more about doing things properly and building trust so clients come back and refer others.”
Notably, only 13% of firms said retaining current clients was a challenge, and none identified repeat business as a barrier to success.
What this means for wills and estate planning professionals
The findings reinforce the continued value of private client work within the legal sector — but also highlight the importance of operational efficiency and sustainable delivery.
For wills and estate planning professionals, the report underlines several key themes:
- clients continue to value trusted personal relationships;
- private client work remains commercially important;
- technology and AI will increasingly shape working practices;
- efficient systems and workflows are becoming essential;
- long-term growth depends on balancing service quality with operational discipline.
In summary
The latest Bellwether Report paints a positive picture for private client work, confirming its continued profitability and strategic importance for SME law firms.
However, it also highlights growing operational pressures around staffing, capacity and delivery efficiency.
Firms that combine strong client relationships with smarter systems, disciplined growth and modern working practices are likely to be best positioned for long-term success.