Barratt Redrow announced that it will continue to seek to recover costs through its supply chain after identifying additional expenses of \u00a3248 million related to fire safety issues and concrete frame repairs.<\/p>\n\n\n\n
In a morning trading update, the developer reported that it faced additional liabilities, including \u00a380 million in costs to address fire safety concerns at a four-flat development completed by the company\u2019s southern region in 2002.<\/p>\n\n\n\n
The company also incurred a further \u00a318 million in costs linked to a range of recently identified issues at a large London construction site, including fire safety and the restoration of reinforced concrete frame structures.<\/p>\n\n\n\n
Barratt Redrow announced plans to carry out concrete frame remediation works on five Redrow projects mentioned in its half-year results in the spring, estimated to cost around \u00a3150 million.<\/p>\n\n\n\n
The firm added: \u201cWe continue to actively pursue cost recovery from third parties relating to fire safety and concrete frames.\u201d<\/p>\n\n\n\n
\u201cIn May, the group won a landmark Supreme Court case that clarified the responsibility of companies in the supply chain to rectify defects in developments they were involved with. The ruling clearly showed that all parts of the industry must take responsibility, and that developers should not be penalized for proactive measures aimed at protecting tenants and residents ahead of litigation.\u201d<\/p>\n\n\n\n
Additionally, the company said restructuring costs following last year\u2019s Redrow acquisition will amount to \u00a390 million, with \u00a369 million already saved. Barratt Redrow added it is on track to achieve its previously set target \u2014 cost synergies of at least \u00a3100 million.<\/p>\n\n\n\n
The number of homes completed in the year ending June 29 was 16,565 units, 8% fewer than 17,972 homes in the previous year. The net reservation rate was 0.64 per week.<\/p>\n\n\n\n
The company forecasts that the volume of homes completed in the financial year 2026 will range between 17,200 and 17,800 units, including around 600 joint venture completions.<\/p>\n\n\n\n
Net cash flow at year-end was \u00a3772 million, which the company said exceeded expectations. Forward sales reached \u00a32.9 billion, covering 9,835 homes.<\/p>\n","protected":false},"featured_media":3993,"template":"","class_list":["post-3996","novosti","type-novosti","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"\n