Linklaters has replaced Clifford Chance as the largest firm in the UK by revenue after announcing its 2008-09 results.

The magic circle firm reported virtually static turnover of £1.298bn for 2008-09, compared with £1.293bn last year. Despite the lack of growth, the revenue performance was enough to edge Linklaters slightly ahead of Freshfields Bruckhaus Deringer (see story, below).

Internationally, Asia and the US brought in 11% and 6% of Linklaters' revenue respectively, with Europe and the Middle East making up the balance. London remained the firm's largest revenue generator.

However, by profits per equity partner (PEP), Linklaters lags slightly behind Freshfields, after announcing a 9.5% dip to £1.3m, down from £1.44m in 2007-08.

Linklaters' falling PEP and static turnover came despite high-profile mandates such as advising PricewaterhouseCoopers as administrator of fallen investment bank Lehman Brothers. The mandate, which at one stage was thought to be earning the firm more than £1.25m a week in fees, has kept swathes of London lawyers busy throughout the downturn.

Despite the instructions, Linklaters conducted a far-ranging restructuring earlier this year resulting in around 200 lawyers and 200 business support staff losing their jobs globally, around half of which in London.

The process, dubbed Link-laters New World, was also expected to see around 35 partners worldwide leave the City giant by the end of the year, although the firm has not confirmed official numbers.

Managing partner Simon Davies said the bulk of the restructuring costs have come out of the 2008-09 results, impacting on PEP.

He told Legal Week: "I think we need to look at last year as an exceptional time. We were brought into crisis situations by our clients and there was a huge amount of complexity involved.

"Mid-September onwards was an inspirational time to be at the firm – the commitment and creativity our people showed was astonishing."