FINANCE company Cattles warned that full-year profits will be well below forecasts.

The latest blow for the Birstall-based business follows a review into the adequacy of its bad debt provisions.

Cattles said the process was still taking place, but was expected to result in pre-tax profits being “substantially lower” than market expectations.

The firm’s annual results have been delayed pending completion of the review.

Shares fell further yesterday – worsening the slump which followed Cattles having to concede defeat in its long-running attempt to secure a licence for banking deposits.

Cattles, which operates Welcome Finance, has already said it will axe 1,000 jobs and close its Hull office due to reduced business volumes.