British housebuilder Taylor Wimpey this morning said it was on track to deliver full year results in line with previous guidance, after strong housing demand helped it offset supply chain pressures.
Although the country’s third-largest housbuilder said it had experienced industry-wide pressures on the cost and availability of certain materials and a shortage of drivers for haulage, the huge demand for homes underpinned by cheap mortgages meant “house price inflation fully offset build cost inflation,” the firm said.
British house prices rose for a fourth month running in October, in the latest sign that this trend is continuing beyond the pandemic and the stamp duty break cut-off in September.
“Looking ahead, market conditions remain supportive, and with the benefit of our strong land position we are well placed to deliver against our medium term targets,” CEO Pete Redfern said in a statement.
The firm said its current total order book, excluding joint ventures, stands at about £2.8bn, slightly down from the £3bn this time a year ago during government support measures, and slightly ahead of its £2.7bn 2019 level.
The housebuilder reiterated its annual operating profit outlook of about £820m, while it expects its target of homes completed in the UK, excluding joint ventures, to be at the upper end of outlook range of 13,200 to 14,000 units.