Legal Business Blogs

Macfarlanes’ top-earning partner pay leaps by a third, annual LLP accounts show

The latest LLP filings at Companies House by Macfarlanes have shown the highest-paid member at the firm pocketed £2.04m in 2014/15, 33% more than in the previous financial year.

The firm confirmed that the highest-paid partner was not a retiree.

Dated for the year end 30 April 2015, the firm’s turnover increased by 17% to £156.5m from £134.4m for the financial year while profit before tax jumped 27% to £91.4m from £71.8m.

Staff costs increased to £43.8m from £37m while other operating expenses dropped to £22.5m from £29m. The average number of members during the year rose to 81 from 78 the previous year, while average figures for professional and support staff jumped to 518 from 465.

The firm also recorded a significant increase in lawyer pro bono hours to over 3,200 from 2,600 in 2014, while accounts further showed a pension deficit totalling £2.3m, an 85% leap on the previous year, and the largest the firm has had in the last five years.

As one of the most successful UK-based firms financially over the last five years, Macfarlanes unveiled strong financials again in 2014/15 with double-digit growth in both revenue and profits for the second year running. At £1.55m, Macfarlanes’ profit per equity partner (PEP) is now higher than each of the big four Magic Circle firms.

Deal highlights include representing Verizon Communications on its acquisition of Vodafone’s 45% interest in Verizon Wireless for $130bn, for which the firm picked up Corporate Team of the Year at the Legal Business Awards 2015; and acting for London Bridge Holdings on the £1.7bn sale of More London.

Linklaters’ LLP accounts, which were published last week, also showed that highest-paid member took home a third more pay than in 2013/14.