Almost half of the country's top law firms have been approached by a British rival about a potential tie-up or acquisition, according to Smith & Williamson's latest Survey of Irish law firms, which shows particular concern about the large number of British firms setting up operations here since the Brexit vote.
Smith & Williamson is a financial and professional services firm specialising in accounting, tax, and business services.
The company's Managing Director for Ireland Paul Wyse said he has seen a number of larger firms set up small greenfield operation so far, but "some of them do have quite big ambitions though.
"We're aware of a couple who have stated intentions to be a top-ten in Ireland as well. So you're looking at a situation where initially it's a small seed that's being sewn, looking to grow that and take lateral hires from other firms at this stage.
"And then there are a number of discussions going on to merge and acquire other firms at this stage also, but we have seen 1,100 solicitors from the UK register with the Law Society, we've seen 20% of that number take out practising certificates.
"Indeed one of the biggest firms, Freshfields, doesn't even have an office over here, yet it has 87 solicitors with practising certificates.
On the challenge this shift presents to Irish companies in the Irish market, Mr Wyse believes it's the number-one issue for the top 20 firms here.
He said they are "finding it difficult to find and locate staff at the moment and I think that is going to continue".
The Smith & Williamson Irish head said the high number of firms without a Brexit plan is very worrying, especially considering "the impact firms are saying Brexit will have on them".
Paul Wyse said 97% of firms outside of the top-20 have no formal Brexit plan.
He also says cyber security is emerging as a major concern among small firms.
"70% of firms now say that cyber is their biggest technology risk ... we saw a 60% spike in the number of cyber attacks reported by the top-20 firms."
He believes it is an "increasing problem.
"Law firms represent a target because they obviously carry sensitive data and they also deal with client funds, so cyber is a major issue for law firms going froward."
However, Smith & Williamson's research shows a strong revenue increase among Irish law firms in the past year.
Though, Mr Wyse pointed to a trend of decreasing profits despite the higher revenue, as operating costs are on the rise.
