Telecommunications giant BT have announced that pre-tax profits in the three months to December 2008 have fallen 81% from £630m to £113m.

Shares in the company have fallen to a record low following the announcement to the lowest level since BT was privatised in 1984.

This news follows a report by the telecoms regulator that it would not be able to stop BT from securing an adequate return on its investment regarding its plans to spend £1.5bn on a superfast broadband network.