Lovells has retained 81% of its March intake of newly-qualified lawyers, with 26 of 32 applicants winning jobs at the City firm.

The news marks a significant increase on September 2009′s retention rate of 69%, when 36 trainees from a qualifying intake of 40 applied for a job at the firm, with a total of 25 taken on. Last March's intake saw a retention rate of 78%.

A Lovells spokesperson commented: "It is always our intention to retain as many trainees in each intake as possible. We are pleased that, in the current market, we have been able to offer 26 positions. We are starting to see signs of market recovery although there are still good levels of counter-cyclical work."

Elsewhere, SJ Berwin is to retain 10 of 14 qualifying trainees next month, with just one trainee opting not to apply.

Only a few firms have so far released their retention rates for March. Linklaters recently announced that it is to retain 47 of its current trainee intake, representing a 76% retention rate after 62 applied for a role at the firm.

The rate of 76% is down from a September 2008 peak of 94%, with the number falling during 2009 to 84% in March and 82% in September.

Meanwhile, Allen & Overy found jobs for 87% of its March 2010 qualifying intake, marking an increase on its projected retention rate of 70%.