Icap hit by trading slump as profits fall

Interdealer broker Icap said this morning it saw no rapid improvement across the markets in which it operates, as it posted a 26 per cent drop in pre-tax profit.

Over the six months to September, revenue at the broker fell 14 per cent to £746m.

Chief executive Michael Spencer called the period “one of the toughest” he had ever seen, with trading volumes falling across the board.

Against a challenging backdrop, Icap pledged cost cuts earlier this year, and this morning said its plan was progressing well.

“Our cost reduction programme continues apace and we remain on track to deliver in excess of £50m of savings this year in addition to the £20m achieved last year,” said Spencer.