We at Your Environment are continuing to see growth within the small scale and large scale housebuilding sector.
Housebuilder Barratt Developments will report with the housebuilding sector the focal point for much of the week. Blue-chip firm Barratt has, like almost all of the housebuilders, enjoyed strong growth in the UK’s buoyant first-time buyer market supported by low interest rates and the Government’s Help to Buy scheme.
Few surprises are expected in its full-year figures with a trading update in July stating that the company built 17,395 homes in the year to June 30 and that pre-tax profit has risen by 12pc. The outlook will therefore dominate much of the focus for shareholders with Barratt expecting “modest growth” in home sales in its new financial year.
The sector has brushed aside post-election uncertainty but its reliance on Help to Buy was highlighted when shares dived last month on later denied rumours that the Government was reviewing the programme.
Housebuilding peers Redrow and Berkeley are also reporting to the market this week with the latter’s results set to be under increased scrutiny after the firm was recently promoted into the FTSE 100.