End of Year Reflection: Key Legal Moments of 2024

As 2024 comes to a close, we take a moment to reflect on the key legal developments that have shaped the year. This article focuses on the changes in UK law and how they've impacted various sectors. Our experts share their insights on their areas' most significant legal moments. We offer a detailed look back at the year, while looking forward to 2025.

Intellectual Property 

The big changes in Intellectual Property practice this year have been related to AI.  

In patent law, we have had the relatively recent Court of Appeal Judgment in the Emotional Perceptions case. This has been appealed to the Supreme Court and will be heard in the New Year.  The Emotional Perceptions case relates to the extent to which Artificial Intelligence inventions can be patented and, therefore, is very important in establishing the degree to which one may extract value from Artificial Intelligence systems via the patent system. Cases like this are key to our competitiveness as a nation in perhaps the number one frontier of new technology at the moment; patentability exclusions in the UK and Europe are considered to be one of the key factors in hobbling our computer industries during the 70s, 80s and 90s relative to the US which, of course, has built a large portion of its economy on the back of successful corporations in this field.

In Europe, we have the EU AI Act, which serves to regulate the use of artificial intelligence in different spheres and, in particular, relative to use cases where artificial intelligence will interact with human beings. This has been in force since August 2024 and will be effective from August 2026. Companies using AI will want to ensure that their use follows these guidelines if they have business in Europe.

In our own practice, we are having an increasing number of enquiries relating to inventions that have an artificial intelligence element to them, and we continue to act for companies that have AI at their core. We are, in addition, looking at ways to implement AI into specific parts of our practice in order to better and more efficiently serve clients – currently, Birkett Long utilises a robo-advisor to handle some new enquiries already, and areas like patent searching are expedited by using AI processing too.

Jonathan Perlmutter, Partner and Head of Intellectual Property 
 

Residential Real Estate 

The Residential Real Estate team’s year has revolved around the changing political landscape. Much of the year was spent either deciding which government to elect or anticipating the new government’s budget decisions. This uncertainty has led many people to focus on managing potential outcomes and planning for the future.

We, therefore, experienced an influx of matters before the budget as clients planned as thoroughly as possible ahead of the announcement. 

The government’s confirmation of Stamp Duty increases in the budget and for April 2025 has also prompted us to focus on future planning. We are working closely with our clients to provide the best assistance in the lead-up to these changes.

Jemma Jones, Associate Solicitor, Residential Real Estate

Employment 

Having been introduced into Parliament in October 2024, The Employment Rights Bill is now being scrutinised by the Public Bill Committee. We heard in late November 2024 that the government had already proposed amendments to the Bill, including a significant change to increase the time for an employee to submit a claim to the Employment Tribunal to six months, where currently it is three months.

The Bill also includes a right to claim unfair dismissal for all employees, with a “lighter touch” approach to the termination of employment within a statutory probation period – expected to be between 3 and 9 months long – which will have far-reaching consequences for all employers. Alongside this, the use of zero-hour contracts will come under more legal scrutiny, with employers required to offer employees on such contracts, or with low working hours (still to be defined), guaranteed hours. There will also be a requirement to provide notice of shift alterations, cancellations, or curtailments, with financial penalties, if the correct notice is not provided.

Another big change being introduced by the Bill is the expansion of protection against harassment to include employer liability for harassment by third parties. As of October 2024, employers already have the duty to take reasonable steps to prevent sexual harassment, with the power of Employment Tribunals to uplift an employee’s compensation by up to 25% where the employer has not taken reasonable steps to prevent sexual harassment. The new Bill will require employers to take all reasonable steps to prevent sexual harassment and will also make employers potentially liable for third-party harassment.

There will be lots of consultations in 2025, so watch this space as developments happen.

Karen Morovic, Senior Associate Solicitor, BLHR and Employment Team

Wills, Trusts and Probate – South Essex

Nothing is certain except death and taxes.” While the sentiment of Franklin’s saying remains true, the tax that most commonly follows death, Inheritance Tax, was revised this year, marking the most significant shift to the regime in years. October’s Budget announced that, from April 2027, unused pensions will form part of an estate and may be subject to a 40% Inheritance Tax charge. This change will apply to pension funds paid to a beneficiary as drawdown, lump sums, or annuities. The inclusion is expected to push more estates over the threshold of their IHT-free allowances (ranging from £325,000 to £1,000,000) and necessitate a re-evaluation of estate planning and the disposal of assets during one’s lifetime.

Emma Clarke, Partner and Team Leader, Wills, Trusts and Probate – South Essex

Commercial Real Estate

2024 has been a bumper year of changes in the commercial real estate legal sphere. Of those, two issues stick out as particularly prolific headline generators.

Firstly, new Biodiversity Net Gain (BNG) rules came into effect in February 2024. The purpose of the new rules is to ensure that habitats for wildlife are left in a measurably better state than they were before the development. As a result, all new developments in England must achieve at least a 10% increase in biodiversity compared to the predevelopment state, as mandated by the Environment Act 2021. This is forcing developers to consider BNG early in the planning process, with a Biodiversity Gain Plan being required before you can stick a spade in the ground and commence development. As the sector gets to grip with these new requirements 10 months on, we’re seeing a huge opportunity for landowners to create and sell BNG Units and an exciting market in off-site BNG units evolving. 

Secondly, 2025 may spell the start of significant changes to the security of tenure. In November this year, the Law Commission published its first consultation paper, which considers the right to renew business tenancies and whether the current system (introduced some 70 years ago) is fit for use by modern-day business tenants and landlords. The paper set out four potential models, which range from mandatory security of tenure to its complete abolition. One to keep a close eye on in 2025.

Jennifer Tully, Senior Associate Solicitor, Commercial Property

Corporate and Commercial

Looking back on the year, it has been a really changing environment for businesses and our clients. Following a change in government, interest rates remain high and borrowing costs have created challenges for many businesses. As a result, many clients have been focused on housekeeping measures.

In these difficult times, it is important to ensure that your terms of business are up-to-date and robust; businesses do not want to lose customers due to unenforceable or poorly drafted terms. Similarly, reviewing website policies, privacy documents, and GDPR compliance is sensible. Individuals are becoming increasingly aware of their rights, and the impact of a subject access request on a business can be substantial. Strong privacy policies and GDPR procedures are essential.

Looking ahead and reflecting on the recent past, the budget has significantly impacted businesses. Succession planning is key, particularly with potential future changes to Business Property Relief, Inheritance Tax, and Business Asset Disposal Relief. Now is the time to plan to mitigate the risk of significant tax bills or potentially disastrous consequences for your business 

Tim Field, Partner and Head of Commercial Department

As we look back on the legal milestones of 2024, it’s clear that the landscape is evolving in significant ways. If you need guidance navigating these changes in 2025 and beyond, our team is here to support you. Contact us today to discuss how we can help with your legal needs.