Sector - Housing
Persimmon tops out
15 Feb 18
According to the latest research released by Glenigan, Persimmon has overtaken Barratt as the largest homebuilder in the UK.
Glenigan’s research has noted the number of units included in detailed planning applications for private new-build homes made last year, and 2017’s results have put Persimmon as the leader in applications. The Company applied to build some 19,681 homes during 2017, a rise of 19% on 2016.
The previous leader, Barratt Homes, showed a 2% drop on numbers, with some 16,454 unit applications.
Glenigan’s economics director Allan Wilen said: “Barratt spent heavily in the land market during 2017, which would explain the drop off in units in their planning pipeline.
“Typically, developing land through the planning process can be cheaper.
“Although we expect a small decline in the value of underlying private residential starts in 2018, many other housebuilders continue to expand their planning pipeline and this research bears this out.”
Monitoring of housebuilders’ planning applications began in 2004, with Glenigan naming Barratt as the most prolific house builder up to 2013, when Taylor Wimpey topped the results, followed by Persimmon two years’ later.
Persimmon’s return to the top of the ladder was cemented by it also having submitted 174 applications, more than any other housebuilder. The top three housebuilders, Persimmon, Barratt and Taylor Wimpey, all submitted more than 100 planning applications last year, comprising some of the larger developments with an average of 124 units.
UK home buyers are still seeking the traditional house to purchase, with houses remaining the dominant type of home in the development pipeline at most of the top 20 housebuilders.
While the near-term outlook for private residential work is not bright amidst economic uncertainty, most housebuilders remain increasingly active on the planning front.
Image: Shutterstock
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