By Jonathan Davies

Advertising giant WPP has reported record annual profits despite a difficult year in which it suffered from "strong currency headwinds".

The company, which owns agencies like JWT and Ogilvy & Mather, reported pre-tax profits of £1.45bn in 2014, a 12% rise on 2013. It came following a 4.6% rise in revenue to £11.5bn.

WPP chief executive Martin Sorrell said the majority of its growth would come from the US and China, but added that there are signs of things picking up in the eurozone.

Mr Sorrell said: "We are seeing a little bit of an improvement [in the eurozone] we saw a stronger Q4 and as we go into the first few months of this year January was stronger for the eurozone as well. So there are grounds for a little bit more optimism."

With the general election less than two months away, Mr Sorrell also suggested voters' decision is a "Morton's Fork" - where contradictory arguments lead to very similar, if not the same, unpleasant endings.

"It's a difficult choice either way. If you vote Conservative, you are faced with a referendum over the EU, either in 2017 or 2016.. If you vote Labour, Labour seem to have a platform of criticising or bashing business so you worry on that count too," he said.

"The issue is whether you can get any change [in Europe] before 2016 or 2017. I think the prime minister has drawn the potential date for a referendum forward to 2016, which would be better news. Less uncertainty as a result.

"But the key issue is our position in Europe that's where the patterns of trade [are] whether we like it or not. They are not with the Brazils and Russia and Indias and Chinas. They are more with Germany and France and Italy and Spain.

"But reform it from within, best to be in inside the tent rather than outside the tent," he added.