Vistry chief operating officer to depart as role axed

Vistry’s chief operating officer is leaving the company at the end of next month as his role is being axed as part of the firm’s response to its problems with underestimated build costs.

Earl Sibley, who has worked for Vistry since 2015, has also stepped down as a director of the £4bn-turnover housebuilder with immediate effect.

In a trading update today, Vistry said the removal of the COO role “reduces the length of reporting lines” and ensures “closer proximity” of chief executive Greg Fitzgerald to the business.

The move follows a difficult few weeks for the housebuilder in which it has issued two profit warnings.

Underestimated build costs have led to Vistry reducing its forecast adjusted pre-tax profit by £165m over three years.

The group said last month it is reviewing organisation changes including “considering new appointments, “improving transparency” and “enhancing management capability”. It said it would look to shorten reporting lines and ensure Fitzgerald is closer to the business.

>>See also: How worried should the sector be about Vistry?

Vistry also announced earlier this week that it has been contacting shareholders to alleviate their concerns after one in five revolted against the re-election of Fitzgerald as director of the company in May.

In May, the housebuilder made Fitzgerald executive chair of the business in addition to chief executive, in a departure from the UK Corporate Governance Code.

This combined role for Fitzgerald is the “primary concern” of the shareholders who voted against his reappointment, the housebuilder said.