Blur facing probe after losing focus

A TECHNOLOGY firm that calls itself the ‘eBay of business services’ is being probed by the City watchdog after admitting errors in the way it records revenues.

Blur Group allows firms to search for services online, from recruiting project managers and web designers to legal services, taking 20pc of deals done on its website.

But the company, which has already issued three profit warnings in the space of a year, said that sales would be ‘substantially lower than previously expected’ after a number of mistakes were found by its auditors.

Shares fell by almost a third to close 23.5p lower at 57.5p. The company’s value has fallen by almost 90pc in the past 12 months.

It said: ‘A number of older projects started between late 2013 and early 2014, which have experienced delays, have shown a lower likelihood of completion.

‘As a result, the recognised revenue for the full year will be substantially lower than expected’.

The firm prematurely booked revenues from its website when two parties had made contact, even though it would not be paid until a deal was completed.

The Financial Reporting Council is investigating the blunder, which could delay publication of Blur’s annual results for 2014.

INSURER Aviva has slashed long-term bonuses for its chief executive and finance chief to avoid a bruising pay row at its AGM this month. Aviva, up 5p at 555p, announced the changes after the payouts were criticised by Institutional Shareholder Services. Aviva angered ISS, which represents investors controlling just under 50pc of the firm, when it increased the maximum ‘long-term incentive plan’ for 2015 for boss Mark Wilson from 300pc to 350pc of his £980,000 salary. This put Wilson, pictured, in line for a payout of almost £3.4m in 2020 instead of £2.9m. It also raised the maximum award for finance chief Tom Stoppard from £1.5m to £1.6m – or 225pc of his basic salary to 250pc. It has now reversed the increases.