Housebuilder Barratt sees healthy rise in half-year profits

The company said pre-tax profits rose 8.8 per cent to £321m in the six months to December 31, despite revenue falling 3.2 per cent to £1.8bn.

Boss David Thomas said: “We have delivered another very strong first-half performance, pre-tax profits were up nearly 9 per cent and completions outside of London at their highest level in nine years.”

Total completions were down 5.8 per cent to 7,180 with a slowing property market in London dragging on performance.

Completions in London came in at 367 versus 842 in the same period last year, although Barratt expects sales in the capital to pick up in the second half of the year.

Mr Thomas said: “With a record forward order book, strong consumer demand and a positive lending backdrop, we remain confident in our outlook for the full year. Our confidence in the business going forward is reflected in the improved and extended capital return plan.”

The group said the “fundamentals” of the housing market remain robust, with strong demand supported by good mortgage availability and the Help to Buy scheme.