PERSIMMON has highlighted a post-election boost to consumer confidence as it reported a 12 per cent hike in first-half revenues to £1.34 billion.
The housebuilder delivered a seven per cent increase in new home legal completions in the half-year to June 30, bringing 6,855 units to the market in the UK compared with 6,408 during the same period last year.
It delivered 1500 new homes to the Scottish market in 2014 and hopes to exceed that number this year.
And it underlined the importance to the market of consistency in housing policy brought by the general election, observing that customer sentiment has improved since the country went to the polls on May 7.
Asked whether the improved confidence was down to house buyers' faith in the Conservative Party, group finance director Mike Killoran said: "Housing policy was important to whichever government we eventually elected, because housing policy from party to party was pretty similar. That wasn't a major issue.
"But I do think a consistency of policy, in terms of planning for example is helpful, and also clarity around the Help to Buy scheme out to 2020. It reduces what could have been higher uncertainty.
"In that regard, the fact that the market has experienced consistent support and clarity helps customers, and the industry in terms of the investment it makes."
Mr Killoran re-affirmed the company's commitment to Scotland, but warned the uncertainty over Help to Buy north of the Border was a "challenge". The Scottish Government is reviewing whether to continue funding the scheme. Mr Killoran said: "Unfortunately in Scotland we do have a bit more uncertainty around that to deal with, but having said that I think the Scottish market remains a very important market for us."
Persimmon said the average selling price for the group in the half-year was up 4 per cent at £195,000.
It reported that its weekly rate of sale in the private market was up 11 per cent on the first six months of 2014. Forward sales volumes in the private market were 12 per cent ahead of last year at June 30 at 4,606 homes. Those homes have an average selling price of around £213,000, up four per cent.
Having acquired about 11,500 new plots in the first half its consented land bank stood at around 92,400 plots at June 30.
Mr Killoran said the company plans to build hundreds of homes in sites in Aberdeen, Dundee, Haddington, Falkirk and Ardrossan this year.
Persimmon noted that it had seen greater competition in the mortgage market, helped by new market entrants such as Tesco Bank and Virgin Money, as well an "increase in appetite for secured lending that is written in the right way".
It said the market had been helped by "some welcome improvement in consumer incomes."
But Mr Killoran noted that the volume of mortgage loan approvals remain some way adrift of pre-recession levels. "There's still a lot of headroom, except approval levels in '06, '07 had overstepped the mark," he said. "We're not seeing that sort of lending behaviour in the market, which is a good thing."
Shares in Persimmon closed up 8p at 2,024p.
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