Addleshaw Goddard highest partner pay falls 30%, accounts reveal

Addleshaw Goddard’s highest paid partner took home £776,160 last year – 30% less than the previous year’s pay out of £1.1m.

The figure is contained within the firm’s limited liability partnership (LLP) accounts, published on Companies House.

The accounts also reveal that the LLP’s turnover fell by 3.5% during the 2016-17 financial year, from £195m to £188m.

Operating profit fell more significantly, from £74m to £64m. Profit available for distribution among partners also fell, from £38.3m to £25.7m.

Staff costs increased from £64m to £69m alongside an increase in average number of employees, from 1,159 to 1,202.

The average number of partners at the firm grew from 166 to 171.

Meanwhile the total remuneration for the firm’s management remained static at £3.1m.

A business review contained in the accounts states: “During the first half of the year, transactional activity levels were impacted by the prospect and then the outcome of the UK Brexit referendum, but largely recovered post-September to the extent that activity levels and income, on an underlying basis, closed marginally ahead of the prior year.”

Addleshaws’ 2015-16 financial results were boosted by fees paid for mandates from previous years. The firm is understood to have gained more than £10m in fees paid out from the estate of oligarch Boris Berezovsky, who the firm acted for on more than 30 cases, most famously a $6bn (£3.8bn) battle with Chelsea FC owner Roman Abramovich, which Berezovsky lost in September 2012.

Last year, the firm combined its flexible resourcing, consulting and innovation arms under the new banner of Intelligent Delivery, or AG ID – a business the firm says is contributing revenues of about £15m.

AG ID encompasses the firm’s flexible lawyering service, AG Integrate; its strategic consulting team, AG Consulting; its process mapping and workflow management arm; its innovation and technology team; and its 150-strong transaction services team.

Post-year end Addleshaws merged with Scottish firm HBJ Gateley with the deal going live on 1 June 2017.

Other firms to publish their LLP accounts this week include Freshfields Bruckhaus Deringer, CMS Cameron Mckenna Nabarro Olswang and Dentons.