Provident Financial went on the defensive yesterday ahead of an anticipated probe into the home credit industry in which it is the market leader.

Bradford-based Provident issued a statement to the Stock Exchange in an attempt to ward off criticism ahead of the report by the National Consumer Council (NCC) on Monday.

And the firm admitted that it expected the NCC to launch a "super complaint" to the Office of Fair Trading about the practice of lending small sums of money on the doorstep.

That could mean a thorough investigation into the industry in which Provident is the clear market leader in the UK, with Birstall-based Cattles also a major player.

In yesterday's statement, the company insisted it had been aware of the research for some time and reiterated that its home credit customers were "highly satisfied with the personal service provided".

It added that the product was "ideally suited to the needs of its customers" who tend to be low-income families looking to borrow as little as £50 and pay it back over a 12-month period.

Provident also stressed that it was easy for new companies to set up in the industry, with 146 having entered the market during the last five years.

But the City didn't respond favourably to the announcement with shares falling by 19.5p to 633p at the close of business last night.

Robin Ashton, chief executive of Provident Financial, said: "The home credit sector gives customers access to small sum credit in a way that suits them.

"We lend money to a wide range of people who want to borrow small amounts that they can pay back conveniently from their homes in regular affordable repayments.

"There are no hidden or extra charges whatsoever - even if they are late in repaying their loan. Provident Financial is a responsible lender operating in an increasingly competitive market with transparent products and a home service which is highly valued by our customers."

Chris Bragg, a stockbroker at Leeds firm Redmayne-Bentley, said any probe into the industry would "not be good publicity" for Provident.

But he said that the negative impact on the company's customers could be small because, often, they had little alternative but to borrow from a lender such as Provident Financial.