City stalwart Ashurst has followed suit with peers in the Square Mile to raise the salary for newly-qualified solicitors (NQs), upping the ante to £105,000 including bonuses.
The move will mean a 9% pay increase for NQs, who were previously in line for maximum remuneration of £96,600, effective from the 2020 financial year.
Bringing up the rear of the Big Four City firms to post solid but unspectacular financial results, Allen & Overy (A&O) has increased its top line by 5%, sending revenue up by £75m to nearly £1.63bn.
A&O’s £1.627bn turnover relegated it from second to third largest Magic Circle firm in revenue terms after Clifford Chance (£1.693bn) and Linklaters (£1.629bn) but above Freshfields Bruckhaus Deringer (£1.472bn).
Travers Smith has marked a tenth consecutive year of revenue growth with an 11% increase in turnover, although profit per equity partner (PEP) grew at a more subdued 4%.
Revenue at the firm grew to £162.5m for the 2018/19 financial year – good for growth of more than 70% over the last five years – while PEP hit £1.25m. The firm subsequently joined the raft of firms increasing pay for newly-qualified solicitors (NQs), lifting their base rate salary to £85,000. NQs have the potential to receive between £93,500 and £110,500 with bonuses and other discretionary payments.
Linklaters has posted the strongest financial performance of its peer group with a 7% revenue uptick to £1.63bn and double-digit profit growth.
The results today (11 July) show profit per equity partner (PEP) at the Magic Circle law firm rose 10% to £1.7m in 2018/19 after being flat in a mixed 2017/18.
South East heavyweight Stevens & Bolton has completed its eighth successive year of growth, posting a 9% turnover increase to £28.3m.
The 2018/19 results came off the back of last year’s 9% revenue hike to £26.8m and continued a pacey run for the Guildford-headquartered firm.
Pinsent Masons has ring-fenced ‘significant funds’ from partner profits in a bid to prioritise investing in the business, in turn cutting profit per equity partner (PEP) by 5%.
Revenue at the firm for the 2018/19 financial year rose 7% to £482m, slightly ahead of last year’s 6% increase and good for growth of more than 40% over the last five years. Gross profit rose 2.5%, but PEP fell to £620,000 from £653,000 as the firm put aside funds for investment in areas including IT and cybersecurity.
The man who led Gateley in its pioneering move to become the first UK law firm to float on the public markets is to step down as chief executive next year.
Michael Ward, who has spent over thirty years at Gateley, will be succeeded by the firm’s Manchester office head and leader of its national property team, Rod Waldie, from 1 May 2020. Ward will remain on the board of directors and lead Gateley’s non-legal businesses.
City stalwart Macfarlanes has posted a mixed bag of financial results as the ninth consecutive year of revenue growth failed to translate into a rise in profit per equity partner (PEP) following last year’s 26% surge to £1.74m.
The results announced today (10 July) show turnover grew 8% to £216.98m in 2018/19, a significantly slower pace than last year’s exceptional 20% rise to £201.5m.
Norton Rose Fulbright (NRF) is making an ‘offensive move’ against the Big Four on legal operations consulting with the hire of the well-regarded former Barclays’ head of external engagement, Stéphanie Hamon (pictured).
The firm announced today (9 July) that Hamon, who quit the bank earlier this year, will join as a fee-earner in August to head the new practice and help ‘in-house departments function like a business’.
Knights has produced a strong debut financial year following its AIM listing, with acquisitions and organic growth propelling the firm to more than £50m in turnover.
Turnover at the company was up 51% to £52.7m, slightly ahead of expectations the company flagged in May, including 15% organic growth. Revenue per fee earner was up 22% to £131,000, with a net 46 increase in fee earners over the year, while net debt fell to £14.1m from £26.3m.