Failed SQE1 and Lost a Training Contract: What This Means for Aspiring Commercial Lawyers
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For aspiring commercial solicitors, securing a training contract is a major milestone — but it's only part of the journey. With the introduction of the Solicitors Qualifying Examination (SQE), the pressure to perform at each stage of the qualification process has increased significantly. A recent Legal Cheek article shed light on a harsh reality: failing even one part of SQE1 could cost you your training contract, especially with City firms.
In this blog, we unpack what this means specifically for commercial law applicants, how firms are reacting, and — most importantly — what your options are if you find yourself in this difficult situation.
The Unforgiving Nature of the SQE for Commercial Law Applicants
The SQE1 consists of two parts — FLK1 and FLK2 — and must be passed together to progress to the next stage. For many firms, especially top-tier commercial law firms, failure in either component is seen as a red flag.
Clifford Chance, for instance, has made headlines for reportedly withdrawing offers from candidates who fail to pass both parts on the first attempt. For those aiming at firms in the Magic Circle or other elite commercial outfits, this can be a sobering reality. These firms are under increasing commercial pressure to maintain consistency, reliability, and prestige — and for them, the SQE is a benchmark for all of the above.
Why? Because commercial law is high-pressure and client-facing. There’s less appetite for risk when the stakes involve multimillion-pound deals. Candidates are expected to demonstrate exam readiness and a calm-under-fire mentality. SQE1 is being treated not just as a qualification hurdle, but as a proxy for your resilience and future performance under pressure.
Do Firms Have to Pull Offers? The Debate Behind the Scenes
Despite the firm stance of some employers, others — including industry bodies like the City of London Law Society (CLLS) — are pushing back against this rigid approach. The CLLS training committee has urged firms to adopt a more holistic, supportive view, particularly given the notoriously tough structure and format of the SQE1 exams.
With average pass rates sitting at around 51%, failing an attempt doesn't necessarily reflect a lack of potential or ability. In fact, many candidates — especially those from non-traditional or underrepresented backgrounds — may face additional pressures or disadvantages that aren't accounted for in a strictly pass/fail binary.
The CLLS has made it clear: nurturing talent often means supporting people through setbacks, not penalising them for a single miss.
For Commercial Law Applicants: How This Affects You
If you're aiming for a career in commercial law, here's what this evolving reality means for you:
You may only get one shot:Many top firms now expect candidates to pass SQE1 on their first try. That makes this exam more than just a step — it's a gatekeeper. Preparation must be rigorous and focused, and ideally start well before your firm-sponsored prep course begins.
Your firm’s policy matters — find it out:Don’t just assume your firm will be flexible. Ask recruiters or graduate teams upfront about what happens in the event of a failed SQE1 attempt. Transparency can help you plan your study strategy and understand the level of pressure you're working under.
Mental health and disability disclosure is more important than ever:If you have ADHD, anxiety, or other learning differences, seek formal accommodations early. Firms are increasingly taking a “performance-based” approach, which means any unreported difficulties may not be considered when decisions are made.
Mitigating circumstances might not save your TC:Even with strong mitigating circumstances, some firms will not hesitate to withdraw your offer. This has already happened to several candidates. That said, don't be afraid to advocate for yourself, and if you have a case for appeal, pursue it properly with the SRA or your firm’s HR team.
If You’ve Failed SQE1 — What Now?
You’re not alone — and you’re not finished. Here are practical next steps:
Resit strategically: Identify where you went wrong. Was it timing, comprehension, exam strategy, or personal issues? Use your results breakdown to shape your revision plan for the next sitting.
Consider independent support: A tutor, private coach, or a small study group can make a huge difference. At Legal Careers Club, we’ve supported dozens of students in reshaping their approach and returning stronger.
Explore firms with a more flexible stance: Not all firms will view a first-time fail as disqualifying. Some — particularly mid-size commercial outfits, US firms, or niche specialists — may be more open to context. Others might not require SQE1 at the point of application.
Reflect and regroup: One failure, even if it costs you your training contract, is not the end. Many candidates move to other firms, requalify internationally, or gain valuable paralegal experience before re-entering the race. Your long-term career trajectory is still intact.
Final Thoughts
The SQE1 has become a litmus test for legal talent, particularly in the commercial sector — and unfortunately, it's one with high stakes and little room for error. But failure doesn’t have to spell the end. It’s a brutal reality, yes — but it’s also an opportunity to regroup, refocus, and come back smarter.
At Legal Careers Club, we work with aspiring commercial solicitors every day — many of whom have had setbacks. What sets successful candidates apart isn’t a perfect run, but their resilience, strategic thinking, and long-term vision.
So if you're navigating this rough patch, take a breath. You're still in the game — and you’re not alone.
