Help to Buy boosts Taylor Wimpey profits

Sam Cordon

July 31, 2013

The builder has received 1,300 home reservations because of the scheme which it said has taken its order book to a record level of £1.3bn an increase of 35% compared to the first half of 2012.

Chief executive Pete Redfern said: “During the first half of 2013 there has been meaningful improvement in the housing market. Our business is ideally positioned to perform well in this environment with a strong land position and a very effective house building operation.”

Private home completions totalled 4,229 against 4,137 in the first half of 2012, with the company achieving an average private net reservation rate of 0.67 per outlet per week.

Jeremy Duncombe, director of Legal & General Mortgage Club, said: “This is the latest set of good news results from the building sector following on from CALA homes, Barratts and others.

“Although the government’s new build initiatives have really helped the sector the most important thing that has returned is confidence.

“We still have a significant shortfall in housing stock so now is the time to build on that confidence and encourage even more new homes to be constructed.”

Duncombe said significant banks of land are available across the country are owned by builders and awaiting development while many urban centres also have disused commercial buildings that are ripe for development.

He added: “It’s vital that the government, builders, lenders and brokers all work together in order to bring these into residential use as soon as possible to help satisfy a growing demand.”

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