Barratt Redrow projects ‘high teens’ affordable percentage of 17,000-home delivery target
House builder Barratt Redrow is “on track” to deliver a percentage of affordable housing in the “high teens”, with an aim to build between 16,800 and 17,200 homes in 2025.
As part of its projected annual outlook, the newly merged company said it had forward sold 93% of its targeted homes in its third quarter update.
This is based on the mid-point of full year 2025 total home completions, with 600 joint venture completions deducted and assuming the percentage of affordable home completions “is in the high teens”, Barratt Redrow said. This would give it an annual affordable delivery of up to 3,200 homes.
Total forward sales, including joint ventures, stood at £3.14bn on 30 March 2025, compared with a combined figure of £3.2bn for Barratt and Redrow the previous year.
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But the firm’s total forward sales at 30 March 2025 were 10.1% lower than the previous year at 10,245 homes.
In the third quarter, Barratt Redrow delivered 3,717 homes, compared with an aggregated figure of 3,662 the previous year.
Barratt Redrow said the expectations reflected its “order book at the start of the second half and solid spring trading”.
“While macroeconomic uncertainty has increased, we remain encouraged by the government’s ongoing commitment to increasing housebuilding activity and proposed supply-side support,” it said in the trading update.
Barratt Redrow added that the integration of Redrow into the business was “progressing well”.
The combined firm has closed five divisional offices across both businesses, with plans to close four more, and has submitted nine planning applications for “incremental sales outlets” using its combined land bank.
The builder believes it has the capacity to deliver 22,000 homes annually in the medium term.
It expects a total build cost inflation to be “broadly flat” in full year 2025, while the outlook for 2026 is for an inflation rate of 1% to 2%.
David Thomas, chief executive of Barratt Redrow, said: “Our customer focus and unique offering across the Barratt, David Wilson and Redrow brands have continued to drive homebuyer demand and performance this quarter, leaving us well placed to deliver housing volumes in line with our full-year guidance.
“The operational integration of Barratt and Redrow is nearing completion, and we are making good progress on both cost and revenue synergies.
“In addition to realising the power of our differentiated brands, we are also focused on unlocking the full potential of our enhanced land position. This has been further supported by the government’s proposed planning reforms.”
Barratt officially took ownership of Redrow’s shares in August 2024.
Earlier this month, Redrow chief executive Matthew Pratt announced he would step down from the role.
Steven Boyes, chief operating officer and deputy group chief executive officer at Barratt, will also step down from the new company.
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