Barratt stokes up land buying and building activity

Aaron Morby 9 years ago
Share

Britain’s biggest house builder is ramping up land buying and house building activity as the housing recovery takes hold.

Barratt said completions were up 11% to 13,633 in the year to June putting it on track to hit its 16,000 target much earlier than expected due to the impact of Help to Buy.

In a detailed trading statement this morning ahead of year-end results, the house builder revealed private completions have jumped by just over 1,100 at 10,978 and shot up by 16% in the second half to 6,737 .

Chief executive Mark Clare said that Barratt had doubled to £1bn land purchases during the year, equivalent to 18,500 plots.

“As more house buyers return to the market, supported by improved mortgage availability and the Help to Buy scheme, we are in a strong position to continue to grow the value of the business.

“We are increasing our investment in land whilst reducing debt and have delivered a performance ahead of expectations.

He added: “Momentum is continuing to build and with forward sales up substantially, we are confident we can improve our performance still further in the year ahead.”

Clare added that all six of Barratt’s regions had benefitted from improved market conditions with London and the South East continuing to see the strongest uplift.

Sales rates surged 18% in the second half compared to last year with total forward sales up by half.

Operating margin is expected to be restored to double figures for the first time since the crash when final year figures are reported in September.

Profit before tax and exceptional items for the full year is expected to reach £192m, ahead of the top end of City expectations, on the back of a 12% rise in turnover to around £2.6bn.

 

Latest news

HS2 awards £310m station lifts and escalators deal

TK Elevator signs 160 lifts and 130 escalators deal for four stations
10 hours ago

Robot cutter set to revolutionise paving jobs for Eurovia

Automated system will spell end for noisy slab cutting on busy sites
10 hours ago

First mass built carbon negative homes get underway

St Modwen first volume developer to build affordable carbon-negative homes
16 hours ago

GMI Construction names new CEO

Lee Powell takes helm as CEO at GMI Construction in growth push
16 hours ago

514-home London scheme clears final hurdle

Inland Homes declares victory after three-year planning battle over Hillingdon Master Brewer site
16 hours ago

Henry Construction wins £30m Clarion housing scheme

Ravensbury estate regeneration in Mitcham is Henry's first project for Clarion
16 hours ago

Lovell lands £700m homes deal with Suffolk council

Development joint venture will see at least 2,800 homes built across the county
16 hours ago

Ballymore pulls 51-storey tower plan amid fire safety concern

London Fire Brigade raises concern about single staircase and fire strategy
4 days ago

New work surges as materials shortages ease

Mild weather and easing of supply chain bottlenecks lifts new work 5.7%
4 days ago

PDR Construction goes into administration

All staff made redundant as suppliers owed millions
5 days ago

Brick-laying robot gets approval from NHBC

Robot can now be used in construction of new homes covered by NHBC warranty
4 days ago

Temporary visa scheme needed for London sites

Mayor of London demands action over site skills shortages
4 days ago

Construction worker dies after fall from mobile tower

Court hears how tower wasn't configured correctly
4 days ago

Glencar wins £50m Peterborough logistics hub

Works start on trio of sheds at Kingston Park
4 days ago

Green light for £330m Woking high-rise cluster

Work to start on five blocks towards the end of 2022.
5 days ago

Countryside chief executive makes sudden exit

Major shareholder takes seat on board as first quarter trading falls below board expectations
5 days ago

Big names line-up for £2.7bn Birmingham roads deal

Arup, Arcadis, Balfour Beatty, Carnell, Colas, Kier and Tarmac among firms eyeing contract
5 days ago

Galliford Try scoops £56m Milton Keynes PRS job

Building arm will deliver 329 rental flats across four buildings rising up to 11 storeys
5 days ago

Designers shortlisted for £1bn Oxford Innovation district

Oxford Uni and L&G advance £1bn Begbroke science district plan
5 days ago

Subbies chase cash as work stops on PDR Construction sites

Subcontractors left in dark by £83m turnover contractor
6 days ago

Britain’s concrete producers join forces

Industry agrees single voice through lobbying group UK Concrete
5 days ago

Shapps pauses Smart motorway rollout amid safety concerns

Contractors will be allowed to complete schemes currently under construction
6 days ago

Wildgoose went down owing £9m to trade firms

More than 700 firms have been left out of pocket by the £50m turnover business
6 days ago

Keltbray bags Silvertown tunnelling waste removal

Riverlinx tunnelling team sign Keltbay to barge out excavated material
6 days ago

Ray O’Rourke’s successor starts work

Seamus French starts countdown to firm's founder stepping down
6 days ago

Filler injections rejuvenate ageing concrete roads

Metrail Construction solves squelchy concrete road problem with resin injections
6 days ago

McAleer & Rushe wins £42m Norwich student conversion

Crispin House office to be converted into 680 student rooms
6 days ago

Vinci completes first pour of its ultra low carbon concrete

Taylor Woodrow reduces the carbon footprint of the construction project by up to 70%
7 days ago

KPMG admits financial regulator misled in Carillion audits

Tribunal over KPMG and former staff's forgery allegations gets underway
7 days ago

Scottish contractor goes under with loss of 33 jobs

Iain Potter Construction hit by rising costs and problem contracts
7 days ago

Contractor services