Barratt reports an increase in forward house sales

HOUSEBUILDER Barratt Developments has chalked up a “strong” half-year performance, driven by a rise in forward sales and completed homes.

Total for ward sales picked up by two per cent to £2.4 billion for the six months ending in December, as it cheered Government policies such as Help to Buy and the buoyant mortgage market.

The number of completions also ticked higher, lifting two per cent to 7,324 over the period, with the average selling price climbing 6.5 per cent to £281,000.

Chief executive David Thomas said: “We have delivered a strong performance in the first half, underpinned by our focus on quality, design and industry-leading customer service.”

Britain’s biggest housebuilder said the sales rate remained at 0.68 compared to the year before, while average reservations per week dropped to 246 from 247 in 2016. While the firm is on track to secure “modest growth” in whollyowned completions for 2018, shares were down three per cent on the London Stock Exchange following a broker downgrade from Peel Hunt.

Barratt kick-started 93 new developments during the half year, up from 83 in 2016.

Nichola s Hyett at Hargreaves Lansdown said: “Having purchased plots for more than 13,000 new houses in the last six months, Barratt clearly thinks the current housing boom has further to run.”