DLA Piper in top five law firms

The firm secured its place with a 22 per cent increase in turnover to 446.4 million, profits up 27 per cent at 119 million and profit per equity partner up 18 per cent at 714,000.

That compares with first placed Clifford Chance, whose turnover increased 16 per cent to 1,194 million, profits rose 31 per cent at 374 million and PEP was up 25 per cent at more than 1 million.

Legal Business’s editor, James Baxter, said: “The top 100 law firms employ 90,000 people, including 46,000 lawyers, 25 per cent of whom are based overseas.

“These firms contribute 1.4 per cent to the UK economy and generate enormous wealth for their equity partners – averaging at 448,000 per equity partner and with some earning more than 2 million a year.”

However, Baxter suggests that the peak may have been reached.

“The sustained European M&A boom of recent years, the large private equity deals and the phenomenal growth of London as a centre for the world’s capital markets are all showing signs of slowing down.

“The constant flow of mega- deals may not be around for much longer. And, this year’s growth has been achieved through hiring an additional 3,315 lawyers, whereas in 2006 growth of 20 per cent was achieved without any significant increases in staff.

“Firms will find it much harder to sustain such a rate of head-count growth. There is no more slack in the system for firms to call upon.”