Construction firm Balfour Beatty has reported a 7% decrease in pre-tax profits as trading conditions in the UK remain challenging.

The local government contractor announced its results for the year ending 31 December 2012 on 7 March, which revealed underlying pre-tax profits of £310m, compared with £334m in 2011. Revenue fell from £11,035m in 2011 to £10,896m in 2012.