Housebuilder hit by contractor collapse

In a trading update ahead of its 2016 results, due in September, the housebuilder said it achieved 147 legal completions against 248 the previous year.

Vantage Design and Build appointed Grant Thornton as administrator in June and Inland Homes took over four sites on which the company was working for it.

However, this step delayed 23 completions, pushing them into the following financial year. The 2015 results also contained a one-off bulk sale of 59 units.

Fewer completions and the costs of replacing Vantage meant “the group’s profit before revaluation of investment properties and tax is expected to be marginally lower than the market consensus forecast of £15.9m”, the update said.

Chief executive Stephen Wicks said: “We are confident that our underlying business is extremely robust and the demand for our high-quality, lower-cost homes remains strong.

“While we have been somewhat impacted in the short term by one of our contractors going into administration, against the current supportive market environment, we look to the future with considerable optimism.”

Inland appointed Gary Skinner as group managing director in February with a brief to increase capacity to build homes itself rather than engage main contractors.

The company focuses on the South-east and outer London and said its forward order book was worth £23.4m, with 315 homes under construction across eight sites.

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