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Broking house Numis warned that it expected to report a fall in annual profit, as political uncertainty in the U.K. continued to hurt trading volumes.
Numis said it expected its revenue for the second half of its financial year through September to be in line with the first half and slightly down on-year.
'This will result in reported revenues for the full year showing a mid to high teens percentage decline compared to the prior year, and a somewhat greater fall in profit given the operational gearing inherent in the business,' the company said.
The company said political uncertainty and challenging market conditions that impacted its first-half performance had persisted throughout the second half.
'UK equity capital markets volumes and trading activity in UK equities have both declined significantly compared to the prior year,' it added.
Numis also announced that it had entered into a lease for new office space, given the upcoming expiry of its current lease.
It planned to relocate during the second half of the 2021 financial year and expected the new office would give rise to an increase of about £3m to its ongoing property costs, commencing that year.