A recent Gazette article (21 February), under the headline 'Top firm salaries out-pace inflation', made me very angry.
It said that salaries in large firms had 'continued to surge ahead of inflation', and gave examples of how those with six years' post-qualification experience might expect to receive a salary of approximately £56,000 in London and £42,000 in the larger firms in regional centres.How many principals in substantial provincial firms saw these figures and were dismayed and astonished?I wrote to the editor pointing out that this type of article did not enhance the reputation of the profession in the eyes of the public.
In the hands of the media, it could be used as a stick to beat us on the grounds that fees must be too high if salaries of this nature are being earned.I then rather foolishly offered to present an article entitled 'Provincial solicitors incomes fail to keep up with inflation' in order to redress the balance and my offer was accepted.The editor responded that the Gazette had a duty to reflect all trends, and that 'increasingly, research findings show signs of prosperity'.
These signs are, allegedly, more prevalent in some parts of the provinces than they are in London, and some smaller firms are reporting the end of a long, hard struggle.As vice-president of the Suffolk & North Essex Law Society, I come into contact with a huge number of our members in medium-sized and small firms, together with a number of sole practitioners.
I see no evidence in this province that an end to the long, hard struggle is in sight.On the contrary, there are attacks on our work from licensed conveyancers and independent probate practitioners.
In addition, the development of franchised businesses to pursue personal injury claims, the end of any costs in claims under £3000, more and more company and commercial work being handled by accountants and problems with legal aid indicate that the struggle is anything but over.My own firm's accountants produce inter-firm comparisons based on firms of a similar size and in similar practising conditions.
I can assure you that, in general terms, the income per partner is decreasing rather than increasing.
There are a large number of firms in my area -- and I suspect in other provinces -- where equity partners would be delighted to have a profit share of £27,500 (the sum apparently paid by top firms to newly qualified solicitors), let alone the £56,000 paid to those with six years' post-qualification experience.The standard of living of most of the provincial practitioners I meet has dropped substantially over the last eight years, and I can see no signs of improving fortunes.
The number of solicitors involved in fraud and client account malpractice has increased to an unacceptable level.
My research leads me to believe that this is largely because people cannot adjust to a lifestyle where income has diminished to the extent that they can no longer afford to educate their children or have a reasonable holiday.
It is not, of course, a reason for putting one's hand in the till, but I can sympathise with a person who, having led a moderately successful professional life, suddenly find themselves with all the risks of running a practice and the income of a newly qualified solicitor in a top firm.As far as I can see, out here in t he eastern provinces the long, hard struggle is still in its infancy.
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