City lawyers have given Allen & Overy's(A&O's)recently-announced salary hikes a resounding thumbs-down, according to a new survey that claims the majority of rivals will not follow suit.

The latest Legal Week/ EJ Legal Big Question survey found 92% of respondents said their firms were unlikely to follow A&O's example, after the firm this month announced it is to offer substantial raises for its junior associates.

The survey of 100 partners found more than three-quarters of respondents disapproved of the move, against only 24% who backed the magic circle firm's rise, which will next year see two-year post-qualified lawyers receive £71,000.

Lovells senior partner John Young told Legal Week: "In principle, raising rates can only be justified as a defensive move. It is hard to argue that a lawyer of two years' PQE is intrinsically worth that. The market will not respond to a single move like this."

Dick Tyler, managing partner at CMS Cameron McKenna, said: "I do not approve or disapprove of A&O's decision but I do not think there is a good reason for other firms to follow them."

The survey also found widespread disquiet over the rates that law firms are paying junior lawyers. Twenty-six percent of respondents said that £70,000-plus salaries for junior lawyers were 'far too high', with more than half (57%) arguing the rates were excessive.

Nine percent said that the salary was 'about right' while 8% thought the rates were too low.

Although partners did not favour pay rises, opinion was divided over whether the UK is set for another round of inflation-busting pay hikes. A narrow majority (56%) still believed A&O's early move would spark a pay war.

Slaughter and May partner Nigel Boardman told Legal Week: "If there is an overall shortage of lawyers willing to work in the City, then rates will have to rise to attract high quality people. However, I am not sure there is a shortage, so I am not sure it will start a pay war."

One senior recruiter commented: "Intrinsically, a two-year qualified lawyer is not worth that but people pay it. It is an expensive move and not necessary for all areas of law. I also suspect a salary of £71,000 will not make any difference to attrition if they're losing people to investment banks or US law firms."