Slaughters pockets £9.4m in Rock Government fees

Slaughter and May earned £9.4m in fees from the collapse and nationalisation of Northern Rock, it was revealed today.

Slaughter and May earned £9.4m in fees from the collapse and nationalisation of Northern Rock, it was revealed today.

The figures from the National Audit Office, reported in The Times, show that legal and financial advisers were paid a total of £26.8m by the Treasury.

Chief investment banking adviser Goldman Sachs was paid £4.8m while accountants Ernst & Young and BDO Stoy Hayward picked up £4.3m and £4.5m respectively.
Magic circle firm Clifford Chance billed the Treasury £2.4m on the matter.

Slaughters has advised the Treasury since the credit crunch began in late 2007, providing advice on the nationalisation of Northern Rock, the Icelandic banking crisis and the bank recapitalisation programme.

Corporate partner Charles Randell leads the relationship, although Nigel Boardman and Nilufer von Bismarck also have close links with the Government.

Freshfields Bruckhaus Deringer has also won key roles, acting for the Bank of England.

Former Freshfields corporate partner Graham Nicholson heads the bank’s legal team. He took over from Dame Juliet Wheldon as chief legal advisor to the governor of the Bank of England at the start of the year.