Wragges feels the pinch as firms battle slowdown

TURNOVER: Pannones shrugs off gloom to post record figures

Birmingham-based Wragge & Co recorded a rise of only 2% in turnover over the last year, providing concrete financial evidence that the economic slowdown is affecting law firms.

The firm's fee income in the year ending April 2002 was 77.8 million.

In the previous two years, Wragges enjoyed massive growth; its fee income in 1999 was 42.1 million.

However, senior partner John Crabtree said the firm had expected slow expansion and described the results as 'excellent' given the economic climate of the past 12 months.

He pointed to major multi-national client wins in that time, such as Johnson Controls, RMC Group and National Australia Bank.

Wragges' technology group was the star performer, posting a 14% income growth and bringing in GlaxoSmithKline and Logica as new clients.

The firm's property group achieved 7% growth, and brought in several development clients, including CR Chelverton Properties, io Group, McAlpine Special Projects and Mapeley.

Mr Crabtree added: 'It's been tough for many of our clients - extremely tough for some - and that was always bound to impact on our own performance.'

However, Manchester firm Pannone & Partners enjoyed a cheerier year, with record turnover figures of 21.3 million, a 20% rise on last year.

It too has grown substantially in recent years; income in the year to April 2000 was 13.7 million.

The firm said growth was consistent across all departments: the personal injury department recorded a 20% rise in fees, while the corporate team managed 17%.

Managing partner Joy Kingsley said: 'The growth across all our departments supports our consistent strategy to increase our provision of both commercial and private client services.'