JONES Group will make a £4 million provision this year to cover the cost of restructuring its troubled radiator business.

Shareholders were told yesterday at the company's annual general meeting that there was little prospect of a dividend being paid in respect of this year due to the need to make the provision.

Jones Group's shares did not trade yesterday and remained at the 195p level they fell to on Monday.

The company is looking at all possible options for the radiator division, according to Mr Pat Nevin, the chief executive.

Mr Nevin would not expand on the options being considered but refused to rule out the possibility of selling the division.

The provision is sufficient to cover the cost of what ever action is taken, including any loss incurred as result of a disposal, he said.

A decision should be made on the future of the business by the year end following the completion of a review of the whole group.

Mr Denis Magee, the chairman of the company, told shareholders that the purpose of the review was "to determine the future earnings potential of each of our business, their strategic significance to the group and what, if any, changes need to be made to position the operations for growth.

Mr Magee told shareholders that profits before tax for this year would have been expected to be ahead of last year's £1.2 million were it not for the need to make the provision.

A significant capital profit would be realised by the recently announced sale of the company's premises at Beechill in Clonskeagh, Dublin 4 for £3.25 million, he said.

Jones' radiator businesses in Britain and Ireland have been badly hit by the continued depression in the British house building industry, which is their largest market. No real improvement is expected in Britain until 1997.