Wakefield-based Minster Law returns to profitability, embracing innovation and targeting serious injury growth following industry reforms.
Personal injury (PI) specialists Minster Law has reported a return to profitability following a three-year transformation designed to adapt to sweeping market reforms.
The firm posted a pre-tax profit of £503,000 for 2023/24, a dramatic improvement from the previous year’s £4.7 million loss.
Adapting to industry reforms
The 2021 PI market reforms, which reduced income from volume claims, prompted Minster Law to overhaul its operations. CEO Shirley Woolham described the transformation as a shift to a “contemporary, post-reforms personal injury law firm” capable of thriving in a challenging market:
“Doing volume PI the same as it used to be done was just not an option, with income per case dropping through the floor,” Shirley explained. “We realised early that to focus only on the pursuit of volume was not a strategy capable of creating a profitable business. Instead, we had to think like a start-up, challenge everything and be prepared drive transformational changes to find new ways to achieve sustainable growth.”
The firm’s efforts included restructuring internal operations, adopting new technologies, and streamlining processes.
“The result is a £5m swing into profit during the past 12 months, and the delivery of £2.5m EBITDA for 23/24 excluding exceptionals in a very tough market,” added Shirley.
New initiatives to sustain growth
Minster Law has already exceeded its Q1 financial targets and is rolling out new initiatives to build on its strong start.
The firm has invested in innovative technology, including a new low-code/no-code case platform that streamlines claims registration and enhances the client experience.
Minster Law has also upgraded its communications channels and strengthened its digital self-service offerings through its proprietary INK claims portal.
Further, the firm’s advanced data analytics capabilities mean it can now scrutinise insurer behaviour within the Official Injury Claim (OIC) portal, where minor injury and whiplash claims are processed.
Some third-party insurers’ adherence to OIC protocols are inconsistent; Shirley said, “Whilst instrumental in shaping the rules and protocols that guide the platform’s use, ironically some of these insurers are failing to stick to the very rules they helped create.”
“We know, for example, that the average time taken to provide an initial liability decision has increased by 3 days over the past 12 months, but that this increase is largely driven by the behaviour of just three of the top 20 motor insurers.”
The firm uses this intelligence to refine its claims management strategies.
Serious injury division on the rise
Minster Law’s serious injury practice has emerged as a key area of growth, with case volumes increasing by 50% in just two years. The division now employs 188 of the firm’s 508 staff and is poised for further expansion.
The firm is now exploring opportunities for organic growth and acquisitions to broaden its serious injury expertise. New partnerships are also set to be announced, aimed at supporting clients with life-changing injuries.
Minster Law’s solid capital position will now mean it can take on complex, high-value serious injury cases.
“We’ve invested in the right people, technology, and infrastructure to deliver consistently high-quality service,” Shirley said.
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Josie Geistfeld
Josie Geistfeld is Editor of Yorkshire Legal News. She welcomes comments and questions.