KSB Law is to exit the personal injury market, resulting in the redundancy of 55 staff.
The personal injury unit, KSB Claims, brings in around £5m annually and has 55 staff including two equity partners and a salaried partner.
KSB chief executive Mark Feeney said: “We will continue to act for a number of personal injury clients but will take on no new cases. The department is to be largely closed by summer.”
Feeney, who joined KSB from Russell Jones & Walker in September 2002, had looked at the possibility of hiving off KSB claims into a separate limited liability partnership. There had also been talk of a possible management buyout by the two PI equity partners.
However, it was finally decided that the business would be wound down. “We have investigated all options fully, but in the end this made the best financial sense,” said Feeney.
The firm is about to undergo a consultation period with staff. It is expected that some will be made redundant by the end of the year, with others remaining to deal with run-off work.
“It has been a tough decision for KSB Law but it is right for our strategy,” said senior partner Jonathan Wood. “We intend to continue the successful expansion of our core business. The exit from personal injury will allow us to concentrate our efforts and investment.”