Barratt new home completions fell 5.5% to 7,180 in the first half of the year dragged down by London which plummeted from 842 to around 367 homes.

The fall was partially offset by the regions, which achieved the highest level of completions for nine years at 6,813 (2015: 6,784).

Barratt said it also saw stronger reservation trends, particularly in Scotland, the North of England, the North West and West Midlands.

In London, the house builder said that pricing action at a small number of London sites had successfully stimulated reservations rates in the second quarter.

According to the house builder’s first-half trading statement this morning pre-tax profit is expected to be around £315m, 7% higher than the same period in 2015.

Average selling prices continued to strengthen, albeit more modestly, up nearly 4% to £264,000

Total forward sales as at 31 December 2016 were up 16% by value on the prior year, equating to 10,520 plots (2015: 9,317).

David Thomas, Barratt chief executive said: “This has been another good half year for the group. Consumer demand is strong benefiting from good mortgage availability and ongoing government support.

Our healthy forward order book and this strong demand leaves us on track to deliver on our volume guidance for the full year.

“Our focus remains on maintaining good operational and financial performance, and delivering attractive shareholder returns. The fundamentals of the market are robust.”