Fee income growth at the United Kingdom’s largest 50 law firms experienced a deceleration in the 2022-2023 financial year, while partner profits plummeted at the steepest rate recorded since the last financial crisis. This downturn comes as the industry grapples with absorbing increasing costs after two profitable years.
The transactional market’s slowdown resulted in these law firms presenting an average growth in fee income of just 6.5% in the latest fiscal year. This decrease is a downward shift compared with the previous year’s growth, which was reported at 10.9%. However, it is still higher than the 2020-2021 financial year fee income growth of 5.9%, and the preceding year growth, which increased by only 5.1%.
For a detailed analysis, you can read the original article here, though note that it may require a subscription.