BELLWAY CALLS FOR STAMP DUTY CUT AS HOUSING DEMAND WEAKENS

Bellway, the FTSE 250 housebuilder, has called on the Government to reduce stamp duty immediately to support recovery in the UK property market. Chief executive Jason Honeyman said the company faces "uncertain" near-term demand amid elevated mortgage costs and pressure on consumer finances. Honeyman also urged the Government to introduce a deposit support scheme for first-time buyers, stating such measures would "drive economic growth and accelerate the delivery of much-needed new homes". The call comes after Prime Minister Andy Burnham ruled out a major overhaul of stamp duty at the Autumn Budget last month.

Bellway reported that housing completions grew by 10.8 per cent to 9,695 homes over the year to July 31. Underlying operating profits are expected to increase to approximately £320 million from £303.5 million the previous year. The Newcastle-based company saw positive trading in early spring, but demand has moderated since April following a rise in mortgage rates. Honeyman noted the company had delivered "robust performance" despite "ongoing headwinds" affecting the industry, supported by improved operational efficiency and capital discipline.

Bellway is among several housebuilders to have experienced reduced demand for new homes as consumers face heightened affordability pressures. The company flagged a "more prolonged period of softer customer demand" coinciding with renewed inflationary pressures on building costs. Honeyman stated that easing affordability constraints through stamp duty reduction would help support potential homeowners across all housing tenures, including affordable and social housing provision.