House builders Persimmon, Vistry and Taylor Wimpey confirm phased reopening of sites

Persimmon responds to government

Persimmon said that its phased restart is “in response to the UK government’s objective of getting the construction sector back to work”.

However it added that the safety and well-being of the public and everyone who works on its sites and in its offices “remains our top priority, and we will not recommence construction operations until we are satisfied that it is safe to do so”.

Dave Jenkinson, chief executive of Persimmon, said: “Having spent the last month developing and testing new site protocols that incorporate the necessary social distancing and protective measures, we believe that we are now able to return to site safely and support the UK’s economic recovery from the pandemic.

“These new measures are fully compliant with government public health guidance and will be strictly enforced by a specialist team, with any individual failing to uphold standards being subject to disciplinary action and removal from site.”

Mr Jenkinson said Persimmon’s strong financial liquidity has enabled it to maintain operational capability through this period. The company has furloughed 30 per cent of its staff but is keeping them on full pay.

He said this will allow them “to reopen sites swiftly, and emerge from the shutdown well-prepared and ready to deliver the new homes the country needs, aided by our strong work-in-progress position”.

Sales teams have continued with virtual viewings and digitalised reservation processes. This has seen 820 gross private sales reservations secured in the five weeks ended 19 April 2020. Cancellation rates remain at historically low levels, the builder said.

The group will announce a trading update for the period from 1 January 2020 to date, on Wednesday (29 April 2020), ahead of its AGM.

Vistry

Vistry said since that since the lockdown started, it has taken 212 gross private reservations, resulting in 132 reservations net of cancellations. It has also exchanged on 170 homes and legally completed a total of 193 private sales.

Its initial focus will be on homes that are “watertight and where we have clear visibility of completion and hence cash realisation”.

It added that activity levels “will commence in a measured way, increasing steadily, and maintaining a tight control on work in progress”.

Vistry furloughed the majority of its staff during the period of site closure, with levels expected to reduce as activity on sites increases. Furloughed employees are receiving full pay until at least the end of May.

Greg Fitzgerald, chief executive of Vistry, said: “Health and safety remains our top priority and a huge amount of work has gone into making sure our people can return to work with confidence in safe and well-planned operating procedures.

“This first step represents a positive move for the group, as well as the wider economy, and the critically important delivery of new homes.”