Planning reforms and housebuilding ambitions provide foundations for Persimmon’s growth
Major housebuilder Persimmon expects to build on a good first half of the year as it looks optimistically ahead to the impact of the new Government’s planning and housebuilding plans.
It expects to deliver 10,500 homes in 2024, which is at the top end of previous forecasts.
Persimmon chief executive Dean Finch said: “Strengthening consumer sentiment, improving macro-economic conditions and the government’s welcome and ambitious planning reforms that demand more of the high quality, affordable homes that are Persimmon’s core strength, are all supportive of our ambition to grow this year and in the future.
“This growing and strong platform means we are ready to deliver more of the homes our country requires while securing industry-leading returns over the medium-term.”
Pre-tax profits were down slightly for the six months to June, 3% lower than last year at £146m, despite an 11% increase in revenues to £1.32bn.
York-headquartered Persimmon said margins were “impacted by embedded build cost inflation and private sales mix”.
The FTSE-100 company said its strengthened land bank “provides us with confidence for further growth of outlets and volume into 2025”.
It told shareholders: “Although we recognise that the government’s welcome planning reforms will take some time to come through, our ambition remains to grow our outlet base to over 300 in the medium-term.”
