Barrett Redrow Housebuilding Year Results Remain Subdued

Barrett Redrow has reported a slightly better than expected full year performance for its financial year ending 28 June 2026.

The housebuilder delivered 17,667 home completions, 5.0% ahead of the 16,826 in FY25.

Adjusted operating profit, before the impact of its Redrow acquisition and integration costs, was £598.1m, 0.6% up on the previous financial year, with a slightly reduced margin of 9.9% (FY25: 10.5%A and 10.7%R).

Statutory profit before tax was £363.5m (FY25: £245.3mA and £273.7mR) with £73m cost synergy savings during the 12 months, offsetting the Group’s £100m integration cost as Redrow embeds.

Barrett Redrow Results

Reservation rates remained almost static, with an underlying net private reservation rate of 0.56, compared with 0.55A in FY25, although there was a slight improvement through the summer months with the net private weekly reservation rate from 29 June – 6 September of 0.62.

Forward sales at 6 September were 11,200 homes (45%) at a total value of £3,337.6m. FY27 guidance for total home completions was adjusted slightly downwards to 17,500-17,900, reflecting continued planning delays resulting in fewer than expected sales outlet openings with c. 405 average sales outlets now anticipated, from c.415 previously.

During the year, c. £112m was spent on legacy property charges offset by recovering costs of £38.4m from third parties for issues around fire safety and reinforced concrete frames prior to legal fees of £15.1m.

Outlook

The company reports that both house type designs for Barratt Homes and David Wilson Homes have been streamlined and are expected to launch next year, incorporating the Future Home Standard.
This year, 35% of homes completed in the year used modern methods of construction, incorporating prefabrication of parts of the building.

In his Chair’s Statement, David Thomas, Chief Executive of Barratt Redrow plc, said “We believe the long-term fundamentals underpinning the UK housing market are strong, and that we are one of the best-positioned national homebuilders to capitalise on this opportunity.
“We welcomed the planning reforms proposed by the Government in 2024, although these reforms took longer to be enacted than hoped. The Planning and Infrastructure Act, which became law in December 2025, and the revised National Planning Policy Framework, published in August 2026, will further improve the planning environment but the benefits have yet to be realised on the ground. In addition, we have continued to see the volume of housing-related regulation proliferate, posing further challenges for our industry.”
“To really accelerate housing delivery across the industry, the Government must take action to support demand, particularly for first-time buyers.

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