A&O Shearman is the sole Magic Circle firm that made the list’s top ten
US-headquartered firms expanding to the UK have edged Magic Circle firms Clifford Chance, Freshfields, Linklaters, and Slaughter and May off the top 10 in a list of London’s most profitable firms, reported The Telegraph.
This year, A&O Shearman holds the 10th spot in the list of law firms offering the highest profits per lawyer – the sole Magic Circle firm on the list. By contrast, it was accompanied by Freshfields and Slaughter and May last year – the latter two were ranked 14th and 15th this year.
New York white shoe firm Paul, Weiss, Rifkind, Wharton & Garrison leads the pack as London’s top-learning law firm, recording average revenues per lawyer of over £2 million. A&O Shearman reported average revenues per lawyer of just £1.2 million.
Per the list, just 18 firms in London recorded average revenues of over £1 million per lawyer; 14 of those were US firms. Last year, the US firms among London’s top 50 grew revenues by 14.7pc; by contrast, UK firms grew revenues by just 7.1pc.
High salaries attracting UK talent to US firms
Thus, US firms are becoming more attractive to legal talent in the UK. Newly trained lawyers at Paul Weiss, Davis Polk, and Gibson Dunn earned £180,000 in salary, while those at Magic Circle firms made £150,000.
Los Angeles litigation boutique Quinn Emanuel offered £189,000 annually to newly qualified lawyers in London, making it the highest-paying firm for June 2026. Chicago firm Kirkland & Ellis recorded the highest average partner payouts among City firms at over £8 million per partner; by contrast, Linklaters and Clifford Chance partners received £2.2 million and £2.1 million each. Freshfields and A&O Shearman partners received £2 million each.
The figures were pulled from analysis conducted by Law.com.
Magic Circle firms comprise corporate law firms historically considered the highest-earning and most well-known firms in London. A&O Shearman, Clifford Chance, Freshfields, Linklaters and Slaughter and May are five of the firms making up the Magic Circle.
All of the Magic Circle firms except for Slaughter and May have initiated US expansions; however, their growth overseas has not matched that of their US rivals.
