New government uncertainty affects Bellway

15th Jun 2010 07:02

Housebuilder Bellway said uncertainty surrounding the new government's fiscal policy has resulted in a slight reduction in visitor site visits and weekly sales rates."Nevertheless, with a strong forward order book, net cash in the bank of £55 million and expected future margin improvement, Bellway remains well positioned to continue to deliver earnings growth," it said.The group said it has maintained a sales rate broadly comparable with the same period last year, at 100 sales per week. Cancellation rates have remained stable at around 13%. The average selling price of reservations taken in the period is 10% ahead against last year as a result of changes in mix, and an increasing exposure to the southern marketOriginal annual sales target of achieving last year's volume is secure and the board said it is confident legal completions for the year ending 31 July 2010 will exceed those achieved last year by around 200 units.