Losses totalled £1.54bn after land values in the UK, US and Spain were written down by £690m. There was also a goodwill write-off of £816m and £40m of restructuring charges.

Underlying pre-tax profits tumbled to £4.3m from £120m. Revenues rose to £1.89bn from £1.4bn.

The company which had been expected to announce a repackaging of its debt merely said that constructive discussions with the relevant lenders are ongoing and the board is of the view that a satisfactory conclusion will be reached.

"Whilst conditions are likely to remain tough in both the UK and the US in the short term, we are maintaining momentum in the UK and we have seen pockets of stabilisation in the US. We believe that both markets continue to be attractive on a longer-term view," chief executive Peter Redfern said.