Claims Direct warns of £20 million loss

Claims Direct, the personal injury compensation specialist, has issued its second profits warning in three months.

The firm says full–year pre–tax profits would be substantially below market expectations, partly because a recent television advertising campaign had not restored the number of accepted cases to former levels.

Bosses said they expected a pre–tax loss of around £20 million for the year to March 31, as against City expectations of a £12 million pre–tax profit.