Citi/BigLaw Report Shows 11.7% Revenue Growth and 4.2% Demand Gains in H1 2026 — But Expenses Accelerate

Law.com and Above the Law reported August 17–18 on a Citi Private Bank report showing BigLaw revenue growth of 11.7% in the first half of 2026 against demand growth of 4.2% — well above the historical 1.5–2% baseline — driven by strong M&A activity, energized middle market, and solid litigation. Total expenses rose 9.7%, with increased investment in AI specifically cited as a contributing factor. The demand data is important context for BD teams: 4.2% demand growth is real and broad-based, but it is arriving unevenly. The Q2 2026 Thomson Reuters LFFI found that associate and non-equity partner demand is absorbing most of the incremental workload while equity partner demand declined 1.2% year-over-year — a signal that the composition of demand growth has changed in ways that affect staffing, pricing, and client relationship management at the senior level.