How useful is the LLM? Its almost a 40,000 investment what kind of jobs to students with an LLM get? I will be completing my LLB from England in June. I am an American and I do want to go back to the States and pursue my career there. Should I go for an LLM and then take the relevant State Bar? Or should I get some work experience first and then go for an MBA. I dont necessarily want to enter the litigation aspect of law. I am so confused!!!

If you plan to practice in the States, go back and enroll in a good JD program and forget the LLM. An American LLM is basically 1/3 of a JD. You take random courses plucked from the JD curriculum. It would be like someone coming over to England or Ireland, doing a couple of undergraduate courses and getting an LLM for it.
If you do an LLM in England then you are on an actual graduate program with courses designed and taught at graduate level, however it is only worthwhile if you intend to practice in the UK or Europe or for an American firm based in Europe.
So, if you want to work for an American law firm IN America, the JD is a significantly better investment. Some schools have accelerated JD programs (2 yrs) for people with undergraduate law degress (Harvard, Columbia, Chicago etc). If you do the NY bar exam before you apply (its the only one you are eligible to sit with an English Law Degree) then you will be barred from applying for a JD.
Also, most work in international law firms involves little or no litigation. You will mainly be doing paper work and negotiation on banking and investment deals or mergers and aquisitions. More business than law really.
If you want to make money do the MBA and become an investment banker. Goldman Sachs gave out 20 million pound bonuses this year in London!

You can also take the California bar exam with your LL.B (no JD or LL.M necessary) if you are a licensed attorney in the UK. You could take the California bar exam with your LL.B to be a licensed attorney in the US and then get an MBA (2 years) from one of the top business schools here in the US. However, with only an LL.B, you would probably not be eligible to take the bar exam in any other state besides California. This option would require you to take the MCAT. You could also apply to a JD program here in the US, which would require that you take the LSAT. This option would usually take three years, but some law schools, e.g., Northwestern, have a two year JD program for foreign law graduates. If you want to work for a large law firm, as the previous poster indicted, you should get a JD from a top law school. A JD would also allow you take the bar exam in all the states. Another option is to apply to a law school that has a joint JD/MBA option. This option would take four years and would require you to take both the MCAT and LSAT.

It's all well and good to suggest doing a JD over an LLM but the reality is that it will be far more diffiult to get into a top tier colege's JD program rather than their LLM program. The LLM is in a sense one third of a JD but in another more accurate way, you wouldn't do the first year classes (torts etc) as you have already done these, so in effect it's probably closer to 2 thirds of a JD. the LLM is an opportunity to further study. The classes and professors you will have in a top tier school are really amazing and you will learn alot. As a means of getting a job, it really depends. If you are coming from a common law country and you have no experience you will find it very difficult (with an LLM). Essentially you offer employers no more than a JD does but you dont have a JD. If you come from a civil law jurisdiction it is in fact easier to get a job as you will offer something else that a JD will not (fluncey in a foreign language is important too). the other thing that LLMs typically offer is contacts with the "Home" nation. For the most part they get shipped back to an American office in their Home country, ie Clifford Chance in Berlin etc. (maybe after a single year in the NY office). The LLM offers you the opportunity to have an american law school on your cv but that said most american firms cant comprehend foreign law degrees- seriously, they just dont know what to make of them and quite honestly they really dont care either. If you want to work the best option is a JD. It makes you eligible for all State Bars where as the LLM opens up about 7 i think. If you cant get into a decent JD (top 10-15) then maybe do an LLM in the city where you want to work or a top5 scholl LLM. Of your suggestions though, i think experience is the best idea. Do the NY bar at the same time. Come across to NY for 3 months on a holiday visa and just network. you'll get something. One point- doing the NY bar does not make you ineligible for a JD.