Un prevailing misconception among legal professions is that working as a lawyer is an assured way into parliament. However, your career progression will largely depend on which law firm you end up working at.
Allen & Overy, Freshfields Bruckhaus Deringer and Linklaters firms boast some of the highest salaries among legal services firms known as ‘Magic Circle’ firms, providing global companies with advice.
Solicitors
As many know, solicitors are among the highest earning professionals in the UK. But what may not be widely recognized is how their salary levels can vary widely depending on their practice area, office location, work environment and career stage.
As a trainee solicitor, you’ll begin on the national minimum wage (which is reviewed annually in April) and gradually receive a small increase as you complete your training. Many high street firms also provide paid solicitor apprenticeships in which students can complete their studies for SQE (Solicitor Qualification Examination) through both on-the-job experience and university study.
Once qualified as a solicitor, your earnings will exponentially increase. London offers some of the highest-paying law firms for solicitors – salaries at top firms such as Allen & Overy, Clifford Chance, Freshfield Bruckhaus Deringer and Linklaters may reach six figures upon qualifying – reflecting USA-based firms and their generous salary levels that many top US firms now pay.
Your salary will also depend on the type of law firm in which you work. Larger firms may employ an ‘up or out’ model in which those failing to reach partnership will be moved on; while at smaller regional firms you may remain with reduced salaries as senior associates (or even gain the title ‘Counsel’).
Salaries for newly qualified solicitors across the rest of the UK remain high. Salaries of newly qualified solicitors working in commercial areas of legal practice such as corporate, banking and finance may earn higher earnings than those working on personal matters such as family or criminal law due to firms being able to charge higher prices for services provided while clients often being willing to spend more in order to resolve personal matters more quickly.
Working for smaller law firms outside of London typically results in lower earnings, yet can provide opportunities to advance faster in your career and be given greater responsibilities earlier on in your career. Furthermore, specialising in an area of law may even enable you to command a higher salary.
Barristers
Are You Thinking About Entering the Legal Profession in the UK? The UK offers some of the most attractive salaries in this field; your earnings depend on your specialty and type of firm in which you work.
Many law students aspire to the top firms of London’s Magic Circle – such as Freshfields, Linklaters and Kirkland & Ellis – which pay above national average for newly qualified solicitors. Unfortunately though, most lawyers will begin their career at smaller law firms first before eventually transitioning into partnership at some later point in their career.
Barristers typically work in offices known as chambers with other members of their tenancy. Each barrister specializes in various areas of law and takes on cases from diverse fields ranging from family matters to criminal defense and environmental law. Being self-employed means covering their expenses such as rent, clerk fees and insurance premiums on their own; high earners can command up to PS1 million per year!
Most newly qualified barristers begin their career within a set, opting to specialize in one area of law before seeking out chambers to join. Once settled in chambers, barristers may decide to apply for a tenancy with one particular law firm which can prove competitive as firms want the best talent available to hire as barristers.
Higher barrister reputation increases your odds of landing an interview at a good law firm, but not all these positions offer similar salaries as those within the Magic Circle. Large firms often require competing with peers in order to become partners; it isn’t uncommon for associates not making it onto these teams to be terminated as partners instead.
Working as a barrister may provide more flexible working conditions than being employed as a solicitor, making it more attractive for individuals who value independence as most barristers are self-employed whereas solicitors tend to work in teams and enjoy employee benefits like paid leave.
Newly Qualified Lawyers
One with the right qualifications and abilities can earn significant sums over their lifetime, although earnings vary considerably between firms and sectors. Salary levels tend to be highest at City firms or large international or US firms with London offices.
Newly qualified (NQ) salaries at these firms have seen steady increases over time, thanks to a strong economy and demand from large firms who require lawyers for client servicing purposes. Due to fierce competition for trainees and NQs among these firms, NQ salaries continue their upward trajectory.
Trainee salaries depend on many variables, including where a firm operates and its clientele (local vs national). First-year trainee salaries tend to be higher in London compared to elsewhere in the UK – DLA Piper pays its first-year trainees PS46,000 in London while outside it they receive PS31,000. Law firms usually also give out grants for taking the Professional Legal Development Exam (PGDL), along with living allowances that tend to be greater.
City firms known as the “Magic Circle,” including Allen & Overy, Clifford Chance, Freshfields Bruckhaus Deringer, Slaughter and May are well known for offering highly generous salaries to trainees. A recent merger between Allen & Overy and Shearman & Sterling will put additional pressure on other City firms to increase new graduate pay to attract top talent.
Bryan Cave Leighton Paisner and its peer firms make up the ‘Silver Circle’, with annual starting salaries for newly qualified solicitors at these top UK and international firms averaging at about PS95,000; Travers Smith pays its NQs around PS105,000 annually; Macfarlanes pays approximately PS107,500 while Norton Rose Fulbright pays PS105,000. US “MoneyLaw” firms such as Milbank, Cadwalader White & Case, Cleary Gottlieb and Davis Polk all offer attractive starting salaries comparable or surpass those offered by Magic Circle firms.
While larger firms offer attractive salaries for trainee and NQ opportunities, smaller regional players offer even greater potential trainee and NQ prospects. Not only can these smaller firms pay competitive salaries; many also provide attractive fringe benefits like subsidised restaurants and gym memberships, in-house medical services, free travel passes and bonuses.
Senior Lawyers
Lawyers working in London make more money than anywhere else; yet that comes at a considerable cost. Junior lawyers working at elite City firms face immense pressure to’make partner’ quickly – often working more than 2000 billable hours annually at some firms! This can cause stress and burnout; yet some remain resilient enough to thrive under such conditions.
As you advance, it is likely that your pay will increase accordingly; though this depends on the specific firm. Larger firms often employ an “up or out” system where, if after a set number of years you do not reach partnership status, they move you on or offer another opportunity with higher salaries; alternatively you might remain with one firm but be given the title “Counsel”, as some lawyers decide against going through with becoming partners themselves.
Your choice of law can also have an enormous effect on your salary. US firms generally pay the highest trainee and newly-qualified salaries, followed by Magic Circle firms in London and City firms; regional and high street firms may pay less but still offer competitive wages.
Be mindful that many lawyers who enjoy a successful legal career will transition into other fields; some become politicians; for instance, in 2015 alone 89 of the newly elected MPs studied or worked as lawyers previously.
Legal backgrounds can also open doors in business. Many successful businesspeople have come from legal backgrounds; perhaps in part due to the perception that being legal provides an entryway into politics; moreover, having this background equips you with skills necessary for succeeding across an array of roles and specializations.
