Bellway has predicted continuing stagnation in the housing market - chief executive John Watson said: “We are assuming a nil house price inflation environment for the next 18 months.” Watson also warned that the general election was having an “unsettling” effect on the market. “If it had been the foregone conclusion that it was in 2001, it would be different,” he said. The comments came on the back of Bellway’s interim results; the firm reported an 18.5% rise in pre tax profit to £91.7 million in the six months to the end of January on turnover that rose 13.2% to £493.9 million. It has achieved 97% of its full year sales target and in the first six months its average house price had risen by 6% to £167,000. Bellway also said that its exposure to part exchange deals had doubled since July last year after a slow down in the housing market.