HOUSEBUILDER Taylor Wimpey will set itself tougher financial targets over the next three years as a result of the recovery in the housing market.

The Buckinghamshire-based firm said: "The UK housing market continues to perform strongly with sales rates and pricing at the upper end of our expectations." Taylor Wimpey's shares rose 7 per cent as its updated guidance also sparked a rise among rivals such as Persimmon and Barratt Developments.

The firm said from 2015 to 2017 it will aim to boost its assets by 15 per cent a year, among other goals.

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The group, which teetered on the brink of collapse in 2009 due to its massive debts, has been helped by a strengthening economy, record low borrowing costs and the government's Help to Buy house loan scheme.

The housebuilder reiterated its plan to return up to £50 million to investors by July and £200 million by July 2015. It added future investor returns could top £200 million a year. Barratt Developments last week announced plans to build 30,000 extra units over two years from 2015.