Hammerson's warnings about future tenant demand are a signal the property sector's troubles are moving from sharp but mainly theoretical asset losses to a tangible reduction in future income.

Hammerson said yesterday just 25 tenancies were in administration, 0.5 per cent of its rent roll. But put the difficulties it is facing in finding tenants for its new office and retail developments together with Liberty International's admission last week that it had doubled bad debt provisions and it is clear there is earnings pain to come.