Pictured above: Meeting the challenge - Nick Button, senior partner of Button Legal and new president of Warwickshire Law Society

Law firms need to work together to secure a better future for themselves and their clients, according to a leading industry figure.

New Warwickshire Law Society president Nick Button said the year ahead would present a number of challenges which the profession needed to address.

Mr Button, who is also the senior partner at Coventry-based Button Legal, said: "This will be a challenging year for me and for the legal profession. One of my aims is to encourage solicitors to work together to secure a better future for themselves and for the clients they serve.

"Most people will have heard that the future of Legal Aid is being threatened by the government's spending cuts. This will mean that a large percentage of vulnerable people will be denied access to justice at a time when they are most in need. Lawyers need to join together to protect the rights of these disadvantaged people."

Law firms are also facing other challenges, such as the introduction of Alternative Business Structures (ABS) which will come into force in England and Wales in October. The new legislation will enable private equity firms and other investors to own and run legal practices. Currently, practices must be owned and run by qualified solicitors.

"Undoubtedly one of the biggest issues this year for most practices, and certainly the small and medium sized ones, will be the introduction of Alternative Business Structures (ABS)," he said.

"Most of the 120,000 solicitors in the country are working in small to medium sized practices, about 80 per cent of which are dependent on conveyancing and probate work. Much of this will be at risk after October 6 when ABS comes into force with the likelihood of the work becoming less regulated which will do little to help the profession. I have reservations about it in terms of both standards and the potential detrimental impact on established firms that rely on this type of legal work for the majority of their turnover."

Despite the challenges ahead, Mr Button added that he was looking forward to his role as Warwickshire Law Society president and was optimistic that an upturn in the economy would help give businesses a much-needed confidence boost.

He said: "2011 will no doubt continue to throw up challenges for businesses in general, not just the legal profession, but I'm quietly optimistic that, with a prevailing wind, we might see an upturn in the economy which will come as welcome relief in a number of sectors."

Button Legal was set up in 1988 and offers a range of services including conveyancing, commercial property, landlord and tenant issues, matrimonial law and debt recovery. It now has nine lawyers and 16 support staff.