CPP bosses have paid tribute to the firm's employees as it revealed losses of almost £20 million in its annual results.

The company, which has faced uncertainty since the Financial Conduct Authority (FCA), formerly known as the Financial Services Authority, launched an investigation into misselling of its card and identity protection products, reported a pre-tax loss of £19.9 million from continuing operations for the year ended December 31 2012, down from profits of £11.9 million in 2011.

Revenues from continuing operations also reduced from £300 million to £269.9 million in 2012, taking into account the recent sale of the North American business in a deal to pay back part of its £40 million debt to its banks to prevent them pulling the plug on the business before September 30.

Paul Stobart, chief executive, said the group did not underestimate the challenges ahead, as the business seeks to secure a long-term financing agreement, manage a programme of redress for customers who were previously missold policies, reposition the business and reshape its business model.

He said: "Our success moving forward very much depends on the talent and enthusiasm of our people together with the enhanced experience they are providing to our customers.

"During a period of great stress and anxiety, our people have behaved impeccably, and great credit is due to them for their hard work, unfailing commitment and considerable achievements to date, particularly with regard to our transition to a customer-led organisation, a programme of work that is now well advanced."

Chairman Charles Gregson also thanked the company's staff for their "unrelenting commitment and loyalty" despite changes and cost cutting, including redundancies.

He said: "The important steps made towards securing a financing solution for the group, combined with the improvements to customer experience, governance, compliance and risk management capabilities and significant management changes, including strengthening the senior team of our UK business, provide the group with a more stable position.

"Nonetheless, there remain many hurdles to overcome as we work towards creating a new future for the business."