Phorm, the advertising technology group, has moved to lower its expenses after annual pre-tax losses widened 50 per cent.

The group, whose technology allows advertisers to target consumers based on their interests, doubled its investment in research and development last year to $7.1m (£4.3m), but sales and administrative expenses were $42.2m, up 46 per cent on 2007. The pre-tax loss emerged at $48m, against $32.1m last time.