The group's total pre-tax loss fell to �21.5m in the year to March 30, from �102.9m a year ago when it was hit by a �55m impairment charge related to its acquisition of the Early Learning Centre.

The boss of Flybe has hit out at "punitive" charges and taxes that have pushed the troubled regional airline to end flights in and out of London from next March.

The updated figures from the Office for National Statistics showed that the UK's dominant services sector, which accounts for three quarters of national output, drove the recovery - growing 0.6pc over the three months.

Pre-tax profits were �97m in the six months to the end of March, compared with �37m last year. Total turnover was flat year-on-year at �866m.

The new regulator said the unit was unable to show it was giving clients the right advice. "Although no detriment to customers has been identified to date, the failings exposed customers to the risk that they would be given incorrect advice and inappropriate ...