The Legal Services Board has seen a high level of interest from banks and private equity houses in the run-up to the introduction of alternative business structures, its chair David Edmonds told the Gazette in an interview last week.

Edmonds, who was reappointed for a further three-year term at the overarching legal regulator last month, said there had also been ‘a lot of interest’ in ABSs from law firms and barristers’ chambers.

He said: ‘Over the last 18 months to two years, LSB chief executive Chris Kenny and I have had discussions with banks, clearing banks, private equity houses, groups of lawyers, barristers’ chambers, and the Co-op, which is a major interested player.

‘We have had scores of conversations with people who want to know more about ABSs. That is not to say they will all come in in the first wave. But there is a lot of interest.’

Edmonds added that he had received a lot of inquiries from lawyers, with some looking at setting up consortia to operate a franchise system.

‘At this stage I am very pleased with the level of interest,’ he added.

Edmonds’ remarks chime with comments made by Antony Townsend, chief executive of the Solicitors Regulation Authority.

Townsend told the Gazette earlier this month that the SRA had received ‘quite a number’ of inquiries from new market entrants about becoming ABSs.