Top 10 national and regional firms experience fluctuations as turnover drops 2.6% and PEP grows 14.7%

National and regional firms have produced the most movement in the top 50 this year, with a number of practices seeing sizable fluctuations in revenue and profits.

The big five national firms – DLA Piper, Eversheds, Pinsent Masons, Addleshaw Goddard and Hammonds – remained static on their 2008-09 positions in the rankings after experiencing slight declines in turnover.

However, Wragge & Co, Osborne Clarke and Shoosmiths all fell down the rankings, with the latter seeing the biggest decline, falling five places to 32nd this year.

DLA Piper joint chief executive Nigel Knowles (pictured) commented: "We used 2009 to right-size and reposition the business, while 2010 is about strategic planning, developing our client base and taking advantage of new opportunities. Our revenue remained solid.

"However, profits per equity partner (PEP) suffered as a direct result of the market conditions in the Middle East, which resulted in a substantial under-performance by our business in the region. We have restructured that business, the hit has been taken and we have made a strong start to the 2010-11 year."

Hammonds managing partner Peter Crossley added: "We set ourselves the task of creating a profit turnaround in 2009-10 and that is exactly what we did. We are pleased with our outturn. Our plan now is to address our decline in turnover."

As a group, turnover at the top 10 regional and national firms declined 2.6%, up on both the City-based firms, with revenue over £100m, and the magic circle, but down on the all-firm average of a 0.4% decrease.

DWF flew into the top 50 for the first time after experiencing a 17% increase in turnover to £71.5m while ranking among the fastest-growing by PEP with a 56.3% increase, from £213,000 to £333,000. Beachcroft was one of the few national firms to see a year-on-year increase in turnover, growing 8.3% to £131m.

Of the Scottish firms, McGrigors was the top performer during 2009-10 after reporting an annualised 16% increase in revenue to £69m. The firm rose to 44th place, overtaking local rival Dundas & Wilson – which has fallen to 49th – for the first time in recent years.

The top 10 national and regional firms as a whole saw strong growth in PEP over the year, jumping 14.7% – the best performing band in the top 50.

However, individually there was much variation. Shoosmiths' PEP leapt almost 70% to £256m, while Hammonds, Eversheds and Pinsent Masons all saw average partner profits climb in the region of 30%. At the other end of the scale, DLA Piper's PEP fell 18.3% and Irwin Mitchell's 12.2%.