New Canary Wharf office sparks profit slump at CC

Magic circle firm Clifford Chance is bracing itself for a £26m profits slump in 2003-04 because of its investment in its new Canary Wharf headquarters

Like other City firms, Clifford Chance is in the process of setting its budget for the coming year. It is predicting flat revenues and increased costs for the next financial year, as it struggles to deal with the excess space in its new building.

Around 1,250 lawyers are due to move to Canary Wharf later this year, which is lower than the figure the firm had estimated two years ago. The firm is in negotiations with other parties on subletting the space.