Pre tax profits fell by more than 25 per cent at Abbey last year. The house builder and property group saw its pre profits dive by 26 per cent, from £8,365,000 to £6,223,000, in the year ended April 30th last.

Abbey chairman, Mr Charles Gallagher, said yesterday that the company hopes to reverse the slump this year. Forecasts of accelerated British growth "are a source of encouragement," he said.

The Irish operations were expected to continue to grow strongly and the British operations should go on a recovery path. However, he stressed that this would be tempered by the continuing difficulties facing its plant hire activities.