Hi Pete:
Suggest you search up the following thread I started some months ago:
I thought It was clutch slip, but I think it actually may be a gearbox, (1st gear) issue?
I had a - perhaps - similar 1st gear problem with my 850 MKII, that this forum was very helpful in resolving. I also had to pull the gearbox with the engine still in place. Essentially you have to remove enough stuff so the gearbox can be rotated 90 degrees and withdrawn from the timing side. The fun part is that the rear of the engine has to be dropped some to allow the gearbox to be withdrawn!
Here is a quote from Commando expert Greg Marsh, (Greg, I am assuming you do not mind me re-posting your most helpful comments):
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If you've never taken a gearbox out there's something stupid required. The cradle is cut so it looks like it will just twist out, and it will except that the bottom rear of the engine is in the way. So, there are a few ways to do it.
1) The clutch needs to come off, and while not required it's easier with the drive sprocket off especially if 21+ teeth. Keep track of the clutch location spacer and any other spacers but you don't need to remove the clutch location circlip.
2) Remove the bottom and top gearbox bolts and notice the thick spacer at the back of the gearbox that the top bolt goes through.
3) To actually get the gearbox to twist out of the cradle, support the frame or put the bike on the side stand (i.e., not on the center stand), remove the head steady, remove the bottom and middle cradle to engine bolts and loosen the top one. Usually the engine and cradle will drop enough to get the engine out of the way. If not, you might need to loosen but not remove the front and rear iso through bolts (one front, on rear).
Greg...
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Kind regards,
James