Bellway sees sales squeeze as more sites open
Sales offices are now open in England
Bellway said it expects year-on-year sales activity to be “severely constrained” until a time when lockdown restrictions are further lifted.
Reservations have declined to an average of 71 homes per week in the ten weeks from 23 March to 31 May (25 March to 2 June 2019 – 231 per week). Pricing has remained firm and there has been a gradual pick-up in customer interest.
In the period from 1 August 2019 to 31 May 2020, the Group completed the sale of 6,721 homes (1 August 2018 to 2 June 2019 – 7,674 homes), including 708 which completed on or after 23 March. The order book remains substantial, with a value of £1.57bn at 31 May (2 June 2019 – £1.64bn).
Sales activity has remained restrained since initially closing our sales centres, with the Notwithstanding this, we
Construction activity has restarted on about 230 sites south of the border, although productivity is reduced, and work is still primarily limited to those homes which are nearing completion.
Over the coming weeks, the careful introduction of further social distancing working practices should enable more than one tradesperson to work in a home at the same time, albeit on separate floors. This will help to increase the construction rate, whilst maintaining a safe onsite working environment, said the company.
“Except for Scotland, where government restrictions regarding onsite activity remain in place, our phased and carefully executed reopening plan has enabled us to provide a safe environment for our site-based employees and subcontractors to return to work.
“In addition, we are in the process of finalising new working practices for our Head Office and divisional office-based employees, in order that we can facilitate a gradual return from homeworking at the appropriate time.”
Although eligible, Bellway has not applied for a grant using the jobs retention scheme and currently does not intend to do so.