Herbert Smith has lost a huge chunk of its Standard Life panel work to Addleshaw Booth & Co.
Addleshaws, which has advised Standard Life for more than three years, will take on 25 per cent of the property work normally handled by Herbert Smith.
According to John Pike, head of property at Addleshaws, the firm will advise Standard Life for the whole of England and Wales while Herbert Smith will retain only the London and South East regions.
Francis Salway, investment director in property at Standard Life says the work is split into three funds, the largest being the life fund property portfolio. He says: “Addleshaws is now advising on the main fund.”
Pike says: “We were approached by Standard Life to consider taking on some work on the main fund.”
Until three years ago, Herbert Smith was Standard Life's sole adviser until Addleshaws was contracted to act on the smaller property investment fund.
Salway says: “We decided it was beneficial to work with other firms.”
Gerald Bland, deputy head of property at Herbert Smith, says: “We are disappointed but not surprised. It must be difficult for any pension fund manager to just have one firm in England and Wales doing all of the work.
“All of us here were aware of the potential of some work going to another firm. It was not a question of if but when.”
But he maintains the firm has retained the lucrative areas of work for the panel.