Housebuilder says completions return to pre-pandemic levels but build inflation now running at 9-10%
The country鈥檚 largest housebuilder has said its full-year adjusted pre-tax profit will be slightly above market expectations.
Barratt, in a trading update today ahead of its full-year results in September, said its adjusted pre-tax profit is likely to be between 拢1.05bn and 拢1.06bn, ahead of analyst expectations of 1.048bn.
The figures do not take into account building safety remediation costs of 拢412m, including 拢395m under the developer pledge signed with government.
Barratt said it completed 17,908 homes in the year to 30 June, up from 17,243 last year, meaning it is has now 鈥渞eturned to pre-pandemic levels鈥�.
It said it experienced total build cost inflation of 6% in the year but this has risen and is now running at currently between 9% and 10%. Its statement did not include an assurance - previously offered by Barratt and other housebuilders - that all build inflation will necessarily be covered by sales price inflation.
The firm said: 鈥淩eflecting the continued strength of t