Building materials as much as any other industry in the UK has been peering through split fingers during recent turbulent times. It is therefore good to read news of the continued buoyant housing developer market.
This time round Persimmons has reported half yearly results up 8% on completions, with selling prices up 3.5% (going against the grain of BBC, Times et al reports over recent months).
The quandary still remains: Why is government rewarding developers for building on green belt when brown still remains untouched? There has been a purported 54% increase since March of last year.
Furthermore, in a recent report Glenigans highlighted more than 70% of new plots are not "affordable". Within this green belt land this figure is even lower at only 16%
The house-building market appears to have ridden the disturbance of this year’s general election without suffering any damage. Persimmon Homes reports in a trading update that business has been ‘excellent’ throughout the year so far, while Gleeson Homes is planning to double its output within five years. Despite the general election taking place on 8th June 2017, with the result generating considerable political uncertainty, house-building activity during the month did not just grow, but grew at the second fastest monthly rate since December 2015, according to a survey of construction purchasing managers.