What’s happening in the European legal industry?
What are the major themes shaping legal markets today? Our research team shares key insights from the latest Chambers Europe Guide.
Europe’s legal industry is seeing fewer deals but far more complex, high‑value work as geopolitical uncertainty, shifting interest rates and fast‑moving regulation push organisations to seek legal advice earlier while they navigate supply‑chain pressure, digital transformation and rising scrutiny. Meanwhile, disputes, the energy transition and rapid AI adoption are also stirring the maelstrom of change.
Let's explore this fascinating market with Magdalena Parkitna, Head of Europe, and Marlene Hermann, EMEA Research Director, Chambers and Partners.
How has this year’s Chambers Europe Guide grown?
The Europe Guide 2026 is the result of 11,579 submissions and 13,700+ interviews. Chambers now ranks 1,645 European firms employing 14,812 lawyers across the region. An impressive 627 junior lawyers have gained new rankings for the first time.
For the first time, the 2026 edition features over 3,500 female lawyers – they now account for nearly 27% of all individual lawyer rankings. Romania continues to stand out with women comprising 56% of ranked lawyers, significantly higher than many Western European jurisdictions.
Which European jurisdictions are seeing the fastest changes in legal demand?
Spain continues to expand on the back of strong economic performance, a resilient tourism sector and fast‑growing data‑centre development, driving higher levels of cross‑border investment and increased regulatory, ESG and project‑finance work.
Italy is seeing greater complexity in both transactional and contentious matters, with rising activity in private credit, SME‑focused deals and climate and product‑liability litigation, alongside a growing role in Unified Patent Court disputes.
The Netherlands, Nordics and Central and Eastern Europe are also seeing significant demand for legal advice across a broad range of disciplines including construction, renewable energy and sanctions. Clients are also seeking help to navigate new laws and regulations including the AI Act and DORA.
How are foreign direct investment (FDI) patterns influencing legal work across Europe?
FDI remains robust across key industries such as technology, renewable energy and advanced services. Italy and Spain have emerged as particularly strong destinations. Italy benefits from political stability and a favourable tax environment, while Spain continues to draw international capital through its strong economic fundamentals, energy‑transition projects and rapid digital‑infrastructure expansion.
Jurisdictions in Central and Eastern Europe are also seeing increasing levels of investment, particularly in manufacturing, renewables and technology. These trends have generated heightened demand for cross‑border regulatory guidance, financing support and transactional structuring, as investors adapt to rapidly shifting geopolitical and regulatory landscapes.
Why are litigation and regulatory enforcement rising so sharply?
Europe is experiencing one of its most active periods of contentious and regulatory work in recent years. The expansion of class‑action regimes, particularly in the Netherlands, has opened the door to a significant rise in mass claims and cross‑border consumer actions.
Enforcement bodies across Europe are taking a more assertive stance, especially in competition, tax and consumer protection. ESG‑related litigation and workforce‑related disputes are adding further pressure. These converging trends have placed litigation and regulatory risk at the centre of strategic planning for both law firms and their clients.
How is the role of general counsel changing?
We spoke to two senior legal leaders about this as well as a range of other topics. Our guests were Maria Rocha Barros, SVP and Chief Legal & Public Affairs Officer, Booking.com and Lance Bartholomeusz, the General Counsel and Head of the Legal Affairs Service, United Nations High Commissioner for Refugees (UNHCR).
They told us the general counsel’s role has evolved from a primarily risk‑containment function into that of a strategic adviser directly influencing operational and commercial decisions. Growing regulatory complexity across ESG, data protection, cybersecurity and cross‑border compliance has made proactive risk management essential. In‑house teams are taking on more work once handled by external counsel, supported by AI tools that increase efficiency and reduce dependence on outside providers.
Cost pressure is accelerating this shift, with internal teams being upskilled to manage routine and mid‑level matters, while external firms are now engaged more selectively for high‑impact or cross‑border work.
What role does AI play?
AI is reshaping legal practice across Europe, moving far beyond its early use as an administrative tool. Law firms are increasingly integrating AI into due diligence, contract review, research workflows and document analysis. These capabilities are delivering greater efficiency, speed and accuracy, aligning with the expectations of sophisticated clients who now anticipate that external counsel will employ AI to achieve cost and performance benefits.
The rapid evolution of AI technology is also driving new advisory work related to regulatory compliance, risk assessments, data governance, IP protection and cybersecurity. Clients are seeking guidance on transparency requirements, vendor management, operational governance and liability frameworks.
Explore the latest European legal industry trends
Find more market insights, expert commentary and in-house counsel interviews in the new Europe Guide Launch 2026, including:
- How ESG work is accelerating across Europe
- Which regulatory developments businesses should be preparing for in 2026 and beyond
- The new and expanded Chambers ranking tables introduced this year