Consolidation and focus on rates drive growth in first half of financial year
12 December 2014
- Top 100 UK law firms increase fee income by 8.7%;
- Increase in fees per fee earner of nearly 4%.
The top 100 UK law firms saw fee income increase by 8.7% in the second financial quarter, compared with the same period last year, according to the latest quarterly legal sector survey from Deloitte. This was driven largely by consolidation amongst firms ranked between 51 and 100, with these firms achieving the fastest increase in fee income.
Firms who deliver the majority of their services in London benefited from the strength of the economy, with those ranked between 11 and 25 achieving growth in fee income of just over 5%, driven by increases in fees per fee earner of nearly 4%.
Firms outside the top 10 have been able to achieve some modest improvements in average chargeable rates of 2 to 3%. However, the market for the largest firms remains challenging reflecting their exposure to tougher economic environments outside of the UK.
Jeremy Black, partner in Deloitte’s professional practices team, said: “Firms have built on their strong start to the year with a robust second quarter performance. Overall, firms expect to see relatively strong growth in the second half of the financial year, predicting growth rates which will outperform those for the UK economy.”
Note to editors
In this press release references to Deloitte are references to Deloitte LLP, which is among the country's leading professional services firms.
Deloitte LLP is the United Kingdom member firm of Deloitte Touche Tohmatsu Limited (“DTTL”), a UK private company limited by guarantee, whose member firms are legally separate and independent entities. Please see www.deloitte.co.uk/about for a detailed description of the legal structure of DTTL and its member firms.
The information contained in this press release is correct at the time of going to press.