We present the first results for the static quark potential and the light hadron spectrum using dynamical fermions at $beta=5.2$ using an O(a) improved Wilson fermion action together with the standard Wilson plaquette action for the gauge part. Sea quark masses were chosen such that the pseudoscalar-vector mass ratio, m_PS/m_V$, varies from 0.86 to 0.67. Finite-size effects are studied by using three different volumes, 8^3cdot 24, 12^3cdot 24 and 16^3cdot 24. Comparing our results to previous ones obtained using the quenched approximation, we find evidence for sea quark effects in quantities like the static quark potential and the vector-pseudoscalar hyperfine splitting.
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