Allen & Overy has increased its pay rate for newly-qualified lawyers in the U.K., as more firms attempt to respond to the U.S. firm associate pay war.

The firm has raised its NQ salary level to £100,000 a year, matching Clifford Chance’s newly boosted NQ rates. A&O’s NQ lawyers will be paid £10,000 as a lump sum on joining and will be able to earn more depending on a discretionary bonus. In November 2020, A&O had raised its NQ pay to £95,000 after cutting it to £90,000 in response to COVID-19 earlier that year.