Building materials group Hanson blamed poor weather in April and May for a disappointing performance in its European operations so far this year.

The company, whose quarry operation employs several hundred people in Oxfordshire, said the wet weather and higher energy and materials costs in the first six months of its financial year had also hit its UK brick business.

Hanson was also hit by market weakness in Belgium and one-off kiln repair costs in continental Europe.

But the company put in a better performance in the US, where profits were up 17.9 per cent in its building material operation on the back of positive contributions from recent acquisitions.

Hanson also completed the 1.54bn takeover of Australian building products group Pioneer and is now the world's largest aggregates producer and second largest ready-mixed concrete producer. Hanson expects to save about 25m a year following the takeover.

Hanson chief executive Andrew Dougal said: With the Pioneer integration progressing well and market conditions remaining good in the US, Hanson can look forward to further progress.