At the end of Angel a literal Dragon attacks LA, so what if that blows the cover on all of the weird stuff in the world. People panic, start hunting demons and vampires, and few of them actually do anything useful. The Initiative starts back up, though under the UN, and the Watchers (Giles, Wesley and their new inductee Alexander Harris), go public with the existence of the Slayers to try and calm people down. Books on magic, demonology, etc become the new best selling books, and people around the world start getting involved in this new world. We would try to help fix the mass panic all of this caused, but we'd be a wide range of people from all around the world.

Now that this is public, the Watchers do something like Angel Investigations, (private security, investigating supernatural occurrences) but with government approval. They are also, due to some people in the British government already working with them, the official channel for most western governments to learn about this stuff.

Also, Wolfram & Hart are still out there (branch offices) but they no longer have a monopoly on representing demons, witches, etc.