Ashurst to restart paying partner distributions

Ashurst will pay distributions to partners this quarter after holding back profits in the last quarter.

The firm is understood to have taken the decision in the past week.

It deferred profits last quarter after a 6 per cent drop in revenue for the first half of the 2012/13 financial year (26 November 2012).

The firm is understood to have paid out roughly 20 to 30 per cent of 2010/11 profits before the latest decision and sets a loose target to pay partners within two years of the end of the financial year, or within 12 months in a good year.

In November the firm said the deferral was a prudent move to avoid borrowing to pay partners.

It is unclear whether this quarter’s payouts fully compensate for the deferral last time around.

The firm’s average profit per equity partner in 2011/12 was £744,000, with its equity spread ranging from £405,000 from £1.052m (4 July 2012).

Ashurst declined to comment.