BARRATT Developments has acquired Scotland’s Oregon Timber Frame in a move that shows confidence in the prospects for the housebuilding market.

The purchase of the Selkirk-based Oregon for an undisclosed sum will give Barratt greater control over its supply chain.

Chief operating officer Steven Boyes said: “Barratt is committed to increasing the number of homes we build using offsite construction as part of our overall volume growth aspirations and to mitigate the current skills challenges facing the industry.”

Read more: Housebuilding boom fuels surge in demand for Scottish timber

He added: “Oregon is the perfect company to help us do that, with a highly experienced management team, a skilled workforce and a high quality product.”

Describing Oregon as a key supplier, Barratt Developments said it uses timber frame in the majority of residential properties it builds in Scotland. The company is increasing timber frame use across England and Wales.

Barratt Developments said Oregon will remain based in Selkirk and its experienced management team will continue to lead the business.

Kenny Dunkley and Peter Wade are joint managing directors of Oregon Timber Frame. The company is chaired by Rod Lawson.

The latest accounts filed by Oregon Timber Frame show it made £1.8 million profit on sales of £23.7m in 2017.

The housebuilding boom has boosted demand for timber frames in recent years.

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The company was founded in 1998 with backing from the Archangels investment business.

It opened a plant in Burton in Staffordshire in 2010.

In April last year the management team bought out external shareholders.

Scottish housebuilder Stewart Milne Group has a timber frame production business.

In March Barratt Developments said it planned to build 3,400 homes in Scotland during 2019.