Trading continues well for Barratt Developments with ‘ongoing strong demand’
Housebuilder Barratt Developments said demand for new homes remained “strong” as sales rose 4.3 per cent since July.
Issuing a trading update today, the company said the demand was driven by a shortage of homes, good mortgage availability and supportive government policy in the shape of the Help to Buy scheme.
However the firm added that it was wary of the political uncertainty that could potentially be triggered once Britain formally begins the process of leaving the European Union.
Chief executive David Thomas said: “This has been another good trading period for the Group. Consumer demand is strong supported by good mortgage availability. “We are mindful of the potential for economic uncertainty created by the outcome of the EU Referendum. However, market fundamentals are robust, and we remain a housebuilder of choice.
“Barratt’s commitment to quality design, build and excellence in market-leading customer service has supported our strong sales performance. Our focus remains on maintaining good operational and financial performance, and delivering attractive shareholder returns.”
The housebuilder has launched 69 new developments since July, compared to 51 in the same period last year. The company now has 385 sites, slightly up on last year’s 380.
Barratt said the average rate of reservations per week was in line with last year, at 265.