Results drawn from the Legal Week top 50 show that the UK’s top 10 national and regional firms increased their revenues by an average of 10.4% during the last financial year, while average profits per equity partner (PEP) grew by just 2.2%.
The results, which come against a backdrop of redundancies at some of the major regional players, mean that average PEP for the biggest national firms now stands at £492,700, with average revenues per lawyer reaching £278,800.
This growth rate falls behind the average performance across the top 50 as a whole, where firms reported an average increase in turnover of 12.5% and an increase in profits of 7.3%.
Compared with the top 10 City firms, the difference is greater still, as the largest City players managed to increase both turnover and PEP by around 17.5% on average. It is also a marked difference with last year when the leading national and regional firms outperformed the top 50 as a whole by growing revenues by more than 16% and PEP by nearly 15%.
Beachcroft senior partner Simon Hodson said: “National firms will have had a less spectacular year than the rest, but they will be more strongly placed in the coming year as their clients will be doing everyday business.”
DLA Piper and Eversheds both maintain their positions within the top 10
Pinsent Masons and Addleshaw Goddard remain in the top 20, but
Other national firms to fall down the rankings include Halliwells, which has dropped out of the top 30 following an increase in turnover of less than 1% and a sharp fall in profits.
The firm has also announced a redundancy programme affecting its
DLA Piper joint chief executive Nigel Knowles (pictured) commented: “In turbulent times the status quo is rarely preserved and the result is a re-ordering and re-organisation of the market. However, these times can present many opportunities. The challenge for firms is to make sure they are not re-ordered at a lower level.”
Other regional players announcing redundancy consultations in recent weeks include Shoosmiths, McGrigors and Dickinson Dees.Will the top 50 stand up as the slowdown takes hold? Click here to have your say.
Click on the link below for the full table of results.
UK Top 50 2007-08Have your say on all the end-of-year financials with the Legal Week Wiki results special.
UKTop502008
