Hammonds has launched a review of its business strategy as part of its ongoing shake-up of the firm.

The review is being led by partnership board member and tax partner Bernhard Gilbey, and follows the launch of the firm’s partnership board in January this year as well as last summer’s election of Peter Crossley as managing partner.

The review involves talking to all of the firm’s partners and will examine the direction which Hammonds is taking. Gilbey will report in the autumn

Hammonds is currently bracing itself for a 25 per cent drop in profitability, following the institution of an “exceptional charge” which consists of reorganisation expenses and a fee write-off from a Customs & Excise case.

In March, the firm’s equity partners committed to a 14-month lock-in after several months of partner losses. The firm is expected to announce its financial results for 2004-2005 in July.