Persimmon cautions over Budget cost hit as home sales fall

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Housebuilder Persimmon has said costs will be sent higher by recent Budget measures as it also cautioned over rising build inflation for the year ahead. We are seeing some signs of build cost inflation beginning to emerge in price negotiations for 2025 and are working closely with our supply chain to manage our costs Persimmon Homes through its partnership business dropped to 149 from 205 a year earlier, but private home sales increased 3% to 1,267. It said: “We are seeing some signs of build cost inflation beginning to emerge in price negotiations for 2025 and are working closely with our supply chain to manage our costs, which will also be impacted by new building regulations and the employer national insurance increases announced in the recent Budget. “We are seeking to mitigate the impact of these cost increases through robust commercial controls and other management actions.” But Persimmon said it was on track with its full year completion target for around 10,500 homes and said the August interest rate cut continued to buoy buyer demand.