Phorm remained in focus as the online advertising technology group said it was negotiating a $65m equity fund raising. Phorm lost a third of its value on Monday amid concerns its software, which maps internet browsing histories and uses them to target individuals with advertising, constituted an invasion of privacy. Phorm insisted it did not store personal data and said it had held talks with other internet providers interested in the technology. Its shares rallied 3 per cent to £20.

Rockhopper gained 1.9 per cent to a high of 80p as Landsbanki reiterated its "buy" recommendation on the Falkland Islands exploration group. The broker said while Rockhopper was likely to need a partner or additional finance to fund its exploration programme, the prospect of drilling around the South Atlantic outcrop backed up the fundamental case for the company.