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2010 was an extremely busy period for public sector practices. The economic policy of the coalition government has had a significant impact across the sector, and significant budgetary cuts, proposed outsourcing of public functions, and funding restructuring programmes have all generated work for law firms. Judicial review applications increased, with a number of challenges brought by public bodies against local and central government. The Comprehensive Spending Review of October 2010, together with a proposed Spending Review in autumn 2011, also create scope for further disputes and challenges.

In the public law arena, claimant and commercial firms are ranked together in one table. City firms Herbert Smith LLP, Hogan Lovells International LLP and Baker & McKenzie LLP all have standout practices, while Beachcroft, Bindmans LLP and Leigh Day & Co remain leaders on the claimant side. Bindmans LLP also has a market-leading human rights and civil liberties practice, with other firms such as Irwin Mitchell LLP, Bhatt Murphy Solicitors and Pierce Glynn Solicitors singled out for particular expertise in niche areas, including mental health and prison law cases.

The Education Bill 2011 is also set to make changes to schools and institutions, and work continues on academies and the creation of free schools. Proposed cuts to legal aid will affect firms representing individuals in actions against schools, universities and local education authorities. Douglas Silas Solicitors, Match Solicitors and Maxwell Gillott Solicitors are the standout education practices.

The healthcare sector is set for substantial reform once the Health and Social Care Bill is fully implemented. Firms are already experiencing an increased workload relating to GP consortia and outsourcing agreements. Capsticks is the top legal adviser to the NHS, although other firms may benefit from a shift towards private sector provision in the area.

In local government, there is a significant focus on regeneration, planning and procurement projects, with transportation, waste and renewables coming to the forefront through plans for proposed railway links, wind turbines and food waste recycling as an alternative energy source. The Local Government Act 2010 and the pending Localism Bill relating to the powers of local authorities and their structure are also having an impact. There has been a marked increase in the outsourcing of local authority and public services, and to combat the cuts, councils have also started sharing departments and managers as part of a shared services initiative. Eversheds LLP and Trowers & Hamlins LLP remain the forerunners in the area, although there is plenty of competition in the market.

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