A London-based investment firm has raised £60m (€69m) to finance UK-based legal cases, as investors continue to back these niche funds that offer the chance to profit from disputes between companies and their employees.

Mayfair-based Harbour Litigation Funding, which was launched in 2007, will use the money raised to finance at least 25 commercial litigation and arbitration cases with a minimum claim value of £3m in return for a cut of the final winnings.