Morses Club says complains to dent H1 performance, shares tank

Morses Club shares tanked on Tuesday after the doorstep loans provider warned that a recent increase in claims made by claims management companies against its home collected credit (HCC) division could dent its first-half performance.

"Claim volumes are now back at the levels previously reported in February, and it is anticipated that if these levels of claims are sustained, the cost of these complaints could adversely impact the company's trading performance in the first half of the current financial year ending 25 February 2023," it said.

At 0825 BST, the shares were down 29% at 7.35p.

Morses Club is due to release its results for the year ending 26 February 2022 on 18 August.