Chambers segmented 87 top-ranking law firms as follows:

• Accelerating Elite: high current performance, high growth trajectory
• Stable Elite: high current performance, flat or modest growth trajectory
• Accelerating Challengers: lower current performance, high growth trajectory
• Stable Challengers: lower current performance, flat or modest growth trajectory 

Elite firms have 61% more rankings overall and double the number of Band 1 rankings, compared to Challengers, demonstrating a widening gap in the UK market. Accelerators have grown their rankings by 20% on average over the last decade, whereas stable firms are down 2%. 

The most-ranked US-headquartered firms have grown by 85% in the UK over the same period, albeit from a much lower base, with 44% of that growth occurring over the last five years. 

The five firms that have shown the most acceleration within the Accelerating Elite quadrant are (in alphabetical order) Ashurst Perkins Coie, Baker McKenzie, Freshfields, Latham & Watkins and Macfarlanes.  

The inclusion of Macfarlanes shows that a US presence and building a substantial international platform is not the only path to success, with a tightly focused UK strategy still able to deliver comparable momentum – in Macfarlanes’ case, a focus on highly lucrative, repeat mandates from private capital firms. 

Other attributes of the Accelerating Elite include depth of resources, an ability to handle complex matters, high partner involvement, stand-out industry knowledge and commercial awareness. They also had more than double the employer brand appeal among junior lawyers.

The Stable Elite cohort includes several very large firms that have pursued international growth opportunities while maintaining an established presence in the UK. This reflects a strategic focus on expanding their global footprint, during a period in which some competitors have prioritised domestic growth and strengthened their relative position in the UK market.

The five firms with the most acceleration within the Accelerating Challengers quadrant are (in alphabetical order) Gibson Dunn, Harper Macleod, Hill Dickinson, Mishcon de Reya and Stephenson Harwood . They represent the firms most successful in closing the gap on the market’s established leaders and are most likely to be praised by clients for their quality of service, clear communication and responsiveness. 

In common with Chambers US Advantage Index , published in September this year, the findings identify a compounding cycle, in which quality teams that deliver at a high standard receive superior feedback, loyalty and advocacy from their clients. This is reflected in recognition through rankings, which in turn helps firms attract more talent. The cycle compounds, delivering greater financial returns, allowing firms to invest in securing more quality talent. 

Lisa Hart Shepherd, Chief Product and Innovation Officer at Chambers, says: “While there are different paths to success in the UK market, it is clear that firms enhancing their market reputation most rapidly are, for the most part, those combining deep UK capabilities with the cross-border services that multinational organisations increasingly value. 

“US-headquartered and recently merged US/UK firms are dominant amongst those pulling ahead of competitors and can be seen amongst challenger firms too. They are growing their share of rankings, attracting complex, high-value mandates and the best legal talent. These factors drive financial performance and allow accelerating firms to invest strategically, expanding in those premium practice areas that are most profitable.

 “There is a widening gap between established leaders and the rest – a phenomenon we are also seeing in the US market. Closing that gap will require sustained, targeted and long-term investment with a focus on providing a differentiated client service.”