Enlarged housebuilder says integration between two firms is nearly complete
Barratt Redrow expects to meet its homebuilding targets for the financial year, the firm said in a trading update this morning as it reported a slump in forward sales.
In the update for the 13-week period from 30 December 2024 to 30 March 2025, the recently merged housebuilding giant said it had delivered 3,717 homes, slightly more than the 3,662 built in an equivalent period the year prior.
Some analysts have speculated that US president Donald Trump鈥檚 tariffs could cause UK inflation, and subsequently interest rates, to drop, with potential benefits for housebuilders like Barratt Redrow.
The latest figures brought the total number of homes built by the firm in the financial year to 10,563, with Barratt Redrow expecting to deliver its previously announced target of total completions between 16,800 and 17,200, including around 600 joint venture home completions.
But the trading update also showed that forward sales had fallen in both number and value.
The total number of forward sales fell 10.1% to 10,245, while the value of sales were worth 拢3.14bn in the period, down 2% from 拢3.2bn in the previous period.
Barratt Redrow was created last autumn by the 拢2.5bn merger of rival firms Barratt and Redrow. David Thomas, chief executive of Barratt Redrow, said the operational integration of the two firms was 鈥渘earing completion鈥� and that they were 鈥渕aking good progress on both cost and revenue synergies鈥�.
According to the update, five of nine planned divisional closures have already taken place. In full year 2026, Barratt Redrow will operate from 32 housebuilding divisions across the country with the capacity to deliver 22,000 homes per annum in the medium term.
Yesterday, the business announced that Redrow鈥檚 chief executive Matthew Pratt would leave the combined firm this summer.
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