Shares in Rok fell 11% after the construction, and development group warned the credit squeeze had hit demand from institutional investors in the property market.

Rok said operating profits from its development business would be £2m below market expectations for 2007 and that the division’s profitability would remain under pressure in 2008.

Occupier demand remained strong and that the shortfall would be made up by the strong performance from building and maintenance activities.

EU foots £115m flood repair bills

The EU Solidarity Fund is to give Britain about £115m to help to repair damage caused by the floods in June and July. The Times.

Thousands of families face spending Christmas in temporary housing as the clean-up operation continues, John Healey, the Floods Recovery Minister said.