As part of its previous growth plan to spread its UK footprint, Crest opened a new Yorkshire office last year and appointed a business leader in East Angla to identify an office to commence operations in the region.

But chief executive Peter Truscott said that it has now paused the planned opening of a third new division until further notice and would now adjust the pace of expansion across the business.

The decision was revealed as Crest reported strong underlying results for the year to October, before the rapid market slowdown at the end of 2022.

Pre-tax profit fell to £26m from £71m in the prior year after being impacted by a £105m exceptional charge to cover Crest’s latest estimate of the cost of meeting its building safety pledge.

But adjusted profit before tax was up 29% at £138m from revenue ahead 16% at £787m.

Truscott said forward sales as at 13 January 2023 were down at 2,018 homes from 2,702 homes a year ago.

He said: “The UK is clearly facing a challenging macroeconomic outlook in the near term.

“The board is cognisant of the uncertainty and headwinds the sector is currently facing, including rising interest rates and the declining mortgage availability.

“Accordingly, our immediate focus will be to deliver our strong forward order book and maintain a strong financial position.”

Truscott added: “As we start 2023, there are signs of the resilience that has characterised the housing market through recent years.

“The cost of borrowing is starting to reduce and availability remains good for those with higher levels of equity.

“Demand for new homes is still strong as evidenced by our sales indicators and web traffic.

He added; “Finally, inflation is forecast to have peaked and it is hoped will start to recede during 2023. We remain confident in the long-term fundamentals of the housing market.”