Beeson Gregory, the UK securities firm, is bracing itself for a difficult year after reporting a sharp downturn in profits and activity in the second half of last year.

While overall profits at the firm doubled in 2000, net income in the second half of the year fell over 57% compared with the year before in the wake of the collapse in the small- and medium-sized technology stocks in which the firm specialises. Second half profits of £1.2m (€1.9m) were sharply down from the £7.8m which the firm posted in the first half. Its results echoed the sharp slowdown in profits reported by Close Brothers, the UK investment bank, on Monday.