O2 is to launch a review of its legal team in the new year as the telecoms giant moves to bring its team in line with new parent company Telefonica.

The UK business is to formally examine its 70-lawyer function in the wake of its acquisition by the Spanish telecoms giant, which completed the high-profile takeover earlier this year.

It is expected to consider how large its team should be, as well as what work it should outsource. O2′s legal department is currently larger than those of many of its UK rivals, including Vodafone and Orange.

The review comes as lawyers who advise O2 concede that Telefonica is exerting an increasing amount of influence over the way the UK team is managed and deals with its advisers.

An O2 spokesman said: "The situation is that, as with all other functions, we are trying to work closely together and take advantage of economies of scale."

He added: "On anything that would involve European activity, the legal team will have a unified approach."

It is currently unclear what impact the review will have on the company's advisers. O2 lists Freshfields Bruckhaus Deringer as its lead corporate counsel and also regularly uses Olswang, SJ Berwin, Shearman & Sterling, Baker & McKenzie and Herbert Smith.

Freshfields also has a relationship with Telefonica. The Spanish-run company also works with Simmons & Simmons – which advised on the O2 takeover – Clifford Chance and Linklaters.