Housebuilder says government needs to provide clarity on spending review plans
Housebuilder Gleeson said its latest interim results will be in line with expectations, in a trading update today.
But in an interview with the BBC this morning, chief executive Graham Prothero admitted the housing market remained sluggish.
He said: “I would say that for housebuilding, we’re fine – but it’s rather dull. The demand is not strong and I think both we and other housebuilders are probably selling at a rate below what you would describe as a norm for the UK.”
Prothero added that housing associations were waiting for details of the government’s spending review – slated to be out this spring – before committing to spending plans. “They are sitting on the sidelines because they haven’t had a fresh funding settlement from government.”
In its update, Gleeson said it had sold 801 homes for the six months to December, a rise of 4% on the same period last time. It added that its forward order book for the second half of the year was 597 plots, compared to 586 last time.
It said its Gleeson Land business did not complete any sales in the first half as expected but added several planning decisions were due early in the second half.
Gleeson will announce its interim results on 11 February.
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