Bellway sees “stronger” spring trading

Bellway has seen a “robust” spring selling season, with a sustained improvement in private reservations compared to the first half of its financial year.

Issuing a trading update today (June 7), the housebuilder said that during the period from February 1 to June 2 2024, its private reservation rate per outlet per week rose 6.9% against the equivalent period in 2023 to 0.62. The rate averaged 152 per week compared to last year’s 139.

Bellway traded from an average of 245 outlets during the period, a 2.5% improvement on 2023, which it said was in line with its expectations.

The business said customer demand had strengthened due to mortgage interest rates and inflation stabilising. “Overall, the backdrop of market stability has led to headline pricing and the level of targeted incentives remaining stable across our regions,” Bellway commented.

Accordingly, Bellway’s forward order book improved from 4,411 homes at the start of its current financial year (August 1 2023) to 5,346 homes as of June 2 2024 (June 4 2023 – 6,172 homes), at a value of £1,446 million against 2023’s £1,710 million.

The firm is on track to deliver full year volume of around 7,500 homes as …