Vistry holds guidance as affordable homes demand picks up

(Sharecast News) - UK housebuilder Vistry held full-year earnings expectations and said there were signs of a pickup in demand for affordable housing driven by the government's £39bn programme to increase the amount of stock.

Demand from registered providers and councils had continued to strengthen since September, with several new partner-funded deals expected to conclude in the final quarter, Vistry said in a trading update on Thursday.

"The group is encouraged by the early impact of the government's affordable housing support measures, which are starting to have a positive effect on new partner contracts," Vistry said, although it added that uncertainty created by the delay to the Autumn Budget had been "unhelpful".

Vistry's overall sales rate since 1 July to date was up 11% compared to the same period last year at 0.81, reflecting continued momentum in the second half and strengthening partner demand, with a year-to-date sales rate of 0.85 versus 2024's 1.02.

The group's forward order book was £4.3bn, down from £4.8bn a year ago.