Given the growing risks to reputation, especially with the implementation of emerging technologies like generative AI, and the potential cost of disputes, companies need to do more to improve their risk-mitigation plans. At 49 per cent, fewer than half have conducted preparedness reviews despite this being acknowledged as the most effective risk mitigation measure.

The report, Litigation Risk 2025: Balancing today’s disputes with tomorrow’s risks, offers insights and tracking trends in how companies perceive and engage with the disputes landscape and the risks and challenges that it presents and is based on a survey of more than 360 general counsel and in-house lawyers from large businesses across sectors.

The report reveals that disputes overall are increasing in the UK. The proportion of respondents engaged in disputes in England and Wales, Scotland and Northern Ireland all jumped by 10 per cent or more compared to last year’s report (for example, in England and Wales the numbers climbed from 62 per cent in 2023 to 76 per cent in 2024), and this is expected to rise over the next few years. 

Alex Bishop, partner and head of dispute resolution & litigation at Shoosmiths, said: “Our Litigation Risk 2025 Report provides critical insights into the challenges businesses face in an increasingly complex regulatory and dispute-resolution environment. 

“By understanding these issues, trends and concerns, companies can better prepare for potential disputes and implement effective risk-mitigation strategies to protect themselves both reputationally and financially. By exploring these tensions and challenges, our report provides practical advice on how businesses can adapt to this evolving landscape.”