Completions fall in ‘challenging’ year for Bellway

Early 2024 softness in trading has seen housebuilder Bellway deliver completions and average selling prices that are lower than 2023. Bellway said it had completed a total of 7,654 homes in the year ended 31 July, down from 10,945 in 2023. The overall average selling price fell marginally from £310,306 to £308,000. However, both figures were still slightly ahead of previous guidance. Housing revenue was down from £3.4bn to £2.3bn over the period. Despite the declines, group chief executive Jason Honeyman said: “Bellway has delivered another resilient performance despite the continuation of challenging operating conditions during the year.   “While a lower starting forward order book drove a reduction in volume output, customer demand during the year has benefited from a moderation in mortgage interest rates, which has helped to ease affordability constraints and supported an increase in reservations.” He added: “The improving trading backdrop, combined with the strength of our outlet opening programme, has generated healthy growth in the year-end order book.  As a result, we are in a strong position to return to growth in financial year 2025.” The housebuilder also said it was “encouraged” by the new government’s plans to increase the supply of new homes and welcomed its plans to reform the planning system. “Overall, the long-term housing market fundamentals are positive, and we remain confident that our robust balance sheet and operational strength, combined with the depth and quality of our land bank, will enable Bellway to successfully capitalise on future growth opportunities,” said Honeyman. Photo © Maureen McLean/Shutterstock