FTSE 100 energy company National Grid is set to overhaul its roster of external advisers for the first time in three years, while
Speaking at Sweet & Maxwell’s general counsel forum in
Firms currently on the energy giant’s commercial panel for its
National Grid last reviewed the commercial panel in 2004 following Mahy’s appointment as general counsel. The review will not affect the company’s lead corporate advisers — CMS Cameron McKenna and Linklaters.
Meanwhile, investment bank Lehman has launched a cost review of its panel arrangements, pushing for better value for money from firms in response to rising fee rates.
Firms believed to be affected by the review include Allen & Overy, Ashurst, Lovells and Weil Gotshal & Manges, as well as Freshfields Bruckhaus Deringer, Herbert Smith and Linklaters, which have established links with the bank.
It is understood the review has been driven by Lehman’s procurement arm in response to the current market downturn and the bank’s drive to control costs. The
One partner at a panel firm said: “They are reviewing how the panel works and refreshing it. This exercise looks at cost savings across the board — abort fees in particular will be looked at.”
The move comes just a year after Lehman last reviewed its
The news follows recent research which found a number of clients consolidating their advisers. The report by Legal Week Intelligence found the average number of advisers on panels has fallen from seven to less than five in the last year. The report also found panels are being enforced more rigorously, with three-quarters of clients reviewing their panels every two years.