Slaughter and May has long been a major law firm that does not publish its earnings, which naturally gives rise to major speculation among the legal and business community as to the ‘enigmatic’ law firm and what the partners earn.
The Financial Times has recently lifted the veil, suggesting the firm’s profit per equity partner (PEP) is soaring towards £4 million — a figure that raises eyebrows among lawyers.
While the newspaper doesn’t reveal its precise calculation method, it draws from The Lawyer‘s revenue and profit data. This estimate stands out as potentially the most generous to date. Previous reports from The Times pegged the PEP closer to £3.5 million, with Law.com suggesting £2.5 million last year.
The firm’s financial discretion stems from its operational structure as a general partnership, deliberately avoiding the more transparent limited liability partnership (LLP) model, a strategic choice that keeps their financial details tightly guarded.
The firm has long shunned the ‘expand-at-all-costs’ model, retaining a private and localized approach that sees it work with strategic partners rather than opening an office everywhere like Dentons or DLA Piper.
Slaughter and May isn’t alone in this approach. Freshfields recently announced it would stop providing detailed financial breakdowns to journalists, arguing that true success lies in “quality” and “client mandates” rather than raw numbers.
Big London Law Profits
For context, other Magic Circle firms report varying partner profits in the rapidly changing London legal landscape:
- Clifford Chance: £2.04 million
- Allen & Overy: £2.2 million (pre-Shearman & Sterling merger)
- Linklaters: £1.9 million
Yet, the most eye-catching figures come from US firms operating in London other reports show the money made by the big law US law firms such as:
- Kirkland & Ellis: £6.1 million
- Paul Weiss: £5.1 million
While Slaughter and May appear to lead the Magic Circle, these US firm numbers demonstrate the potential financial heights of top-tier legal practice and once again demonstrate the financial firepower they have and the reason they help grease the wheels for lateral movements in favor of the major US firms.
Money, after all, motivates even if the work-life balance may be left to chance.
