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Matthew Dwyer
Private Practice team
London
UK Law Firms in London
Historically
Just ten or even five years ago, UK firms in London would have had significant numbers of salaried partners within their partnerships. After significant tax changes during the 1990s, this situation has been transformed and the majority of salaried partners have become 'fixed share' equity partners (sometimes called 'B' equity).
Today
A small number of the larger UK practices remain pure equity. However, the majority of UK firms have reasonable numbers of fixed share partners. Some firms have as many as 60-70% of their partners in this category.
In the main, this is a level of partnership that is provided by law firms as a bridge between assistants and equity partners. It is common for individuals to stay at this level for two to five years before being considered for equity. Increasingly, there has to be a business case to promote individuals into equity and if this case is not satisfied, individuals stay permanently at this level.
Market demand
As with equity partners, there is a very active market for fixed share partners, which is divided between opportunistic and strategic opportunities:
- Opportunistic – Due to tax partners not often always having a following, it can be difficult for a firm to make a speculative appointment.
- Strategic – Where a firm specifically wants to build its tax practice, many firms look to bring in fixed share partners as it is a cheaper, more rapid process with no conflicts as to who is head of department.
Notice periods
These are generally 6 months within UK law firms.
Levels of income
| Salary Guide | |
|---|---|
| Substantial City Practices | £150,000-£270,000 |
| Medium-sized City Practices | £120,000-£175,000 |
| Smaller City Practices | £70,000-£125,000 |
| West End Practices | £70,000-£110,000 |
