City firms hope for increase in corporate M&A work

City firms are expecting an increase in the amount of corporate merger & acquisition (M&A) work thanks to some recovery in the business economy (the continual rising of prices set against the stagnation of most of the public's wages make the more general term ‘economic recovery’ problematic).

As reported by The Law Society Gazette via accountancy firm EY, the value of UK M&A work is at its highest level since 2008 (when the financial crisis began in earnest). Elsewhere, international firm White & Case has predicted that US corporations, which are currently holding record levels of cash reserves, may be ready to start spending again soon – particularly in Europe, where the lower value of companies make M&A a more attractive prospect than other forms of growth.

Stephen Wilkinson, global head of M&A at Herbert Smith Freehills, commented: "For a long time after the financial crisis, corporates have been giving money back to shareholders. They haven’t been using their growing cash reserves to fund transactions, but we’re now seeing a greater willingness to do deals than we have for some time."