Persimmon warns on cost inflation

The Iran conflict has had no “material impact” on Persimmon’s trading, according to the business, although it has seen “early signs” of increased inflationary pressure which is likely to impact in the second half of 2026. And enquiries have “softened slightly” in recent weeks.

In a trading update covering the period from January 1 to April 26 2026, the volume housebuilder reported good trading since the start of the year, with net private sales per outlet per week excluding bulk sales rising 3% to 0.67 against the same period last year.

Its private forward sales during the period improved 7% to £1.8 billion. The private average selling price of these lifted 5% to around £306,900.

But the signs of increased inflation in Persimmon’s supply chain, thanks to higher energy costs, are likely to impact into 2027. It said it was looking to mitigate the impact through the “strong relationships” it had with its suppliers and subcontractors while reviewing costs within the business “to ensure we remain as efficient as possible”.

Persimmon said the investment it had made in the business over recent years had aided its improved sales rate and forward order book. Sales …