Bloodbath: Bonmarche, Carpetright and Dignity share prices plummet more than 20 per cent

Shares in two of the UK’s largest companies fell more than 40 per cent this morning, after they put out disappointing trading updates.

Carpetright fell 44.1 per cent to 90p in early trading, while Dignity shares lost 51.3 per cent, falling to 933.5p.

Meanwhile retailer Bonmarche also plummeted by 24 per cent to 96.1p in early trading.

The falls came after profit warnings from all three companies. While figures out from Carpetright and Bonmarche suggested trading over Christmas and just afterwards had been disappointing, funeral services provider Dignity warned a price war in its sector will force it to cut the price of its most basic package in order to preserve its market share.

“Well, it seems a bit late in the month for shocks and profit warnings, but Dignity and that serial offender Carpetight have stepped up to the plate today and Bonmarche hasn’t exactly calmed investor nerves with its dismal trading update,” said retail analyst Nick Bubb.

All eyes will be on the Office for National Statistics later this morning, whose retail sales figures for December are expected to be down one per cent.

However, Accendo Markets’ Michael Van Dulken suggested the figure may be boosted by strong trading on Black Friday and cold weather.

“Any major deviation from consensus could impact inflation expectations and thus GBP, with a knock-on for the FTSE100,” he said.

Read more: The UK retail sector looks set for another robust year, online and off