Fee income of the largest 100 law firms in the UK grew by 14 per cent to £14 billion in the 2007/08 financial year, International Financial Services London said in a report of firms including those that undertake private client business. Much of the growth was concentrated in the first six months of that period as the credit crisis began to take hold.

The report said that revenue in 2008/09 is likely to be flat compared with the previous 12 months because of weaker deal flow and economic conditions. Law firms have been cutting staff and curbing bonuses in an effort to contain their costs.

The five largest law firms in the UK, as ranked by gross fees, are Linklaters, Clifford Chance, Allen & Overy, Freshfields Bruckhaus Deringer and Slaughter & May. The next five are: Herbert Smith, Lovells, Ashurst, Berwin Leighton Paisner and CMS Cameron McKenna.

According to figures for 2006 cited in the report, law firms in the UK generated 1.4 per cent of gross domestic product.

With 1,216 solicitors, Clifford Chance is London's biggest law firm by number of lawyers, followed by Linklaters at 1,114, and Allen & Overy, at 1,082.