Figures released by Ernst & Young show UK companies issued 114 profit warnings in the first quarter as the credit crunch continued to take its toll, pushing the number of warnings 11% higher than the same period last year.

‘Profit warnings remained above the 100 mark for the second quarter in a row, driven by the deepening impact of the credit crunch and a record number of retail warnings, Keith McGregor, E&Y restructuring partner, said.

General retailers led the increase, issuing 18 profit warnings during the period; followed by support services firms at 14; software and computer services; 13 and media and general financial companies, eight, The Press Association reports.

‘The last time UK plc issued more than 100 profit warnings in consecutive quarters it was 2001, when the end of the technology-led boom meant painful readjustment,’ McGregor said.