INSURANCE giant Zurich has said an arson attack on council offices in South Oxfordshire is partly to blame for its profits falling by 50 per cent.

Zurich UK General Insurance saw its business operating profit drop to £50m in the first six months of 2015, down from £100m for the same period last year.

The company said this was due to a higher than average number of large losses, which was only partly offset by better weather compared to 2014.

One of those large claims was made following the destruction of South Oxfordshire and Vale of White Horse District Councils’ offices in Crowmarsh Gifford in January.

The buildings were set ablaze by Andrew Main, 47, who was later sectioned indefinitely under the Mental Health Act after admitting starting the fire and a number of others in the area.

Zurich’s UK general insurance business chief executive Vibhu Sharma said: “We’ve seen something of a perfect storm of today’s tougher market conditions combined with a greater than average number of significant large losses.

“The main influence on our business operation profit numbers is a greater than average number of large losses. We’ve actually seen about a year’s worth in just six months. Notable examples are the arson attacks at council buildings in Oxfordshire in January.”