Pre-tax profit at building materials giant Wolseley has plummeted 60% to £233m over the past year and it warned that its markets will “continue to deteriorate”

In a trading update for the 11 months to 30 June, the company said turnover was down 16% in constant currency to £13.3bn (1.5% lower taking into account exchange rate fluctuations).

However, it pointed to signs of stabilisation in the new homes market and said the repair, maintenance and improvement market would decline at a slower rate.

Turnover in the UK and Ireland fell more than 15% in the 11 months and trading profit was about 75% down on last year.

Since 30 April it has reduced net debt by £108m to £1.4bn and expects a further reduction in July.