Taylor Wimpey prepares for £30m cladding hit
Housebuilder Taylor Wimpey has made a £30m provision in its accounts to pay for the replacement of cladding on buildings it has constructed in the past.
The company said it had reviewed its developments where it had used aluminium composite materials (ACM) cladding, following the Grenfell Tower disaster last year.
It said it had committed to replacing cladding on a "small number" of buildings following advice from owners, management companies and local fire and rescue services because it believed it was the "right thing to do" in the circumstances specific to those buildings.
The cash is set to be spread over several years.
The news came as the company unveiled its half-year results for the period to 1 July 2018.
Revenue for the period was flat at £1.7bn as compared to the year before, while profit before tax and exceptional items was down 1.2% to £331m.
The company said it had an order book representing 9,241 homes as at 1 July 2018, while the average UK private selling price rose to £295,000.
Chief executive Peter Redfern said: "As employment prospects remain positive and mortgage availability is good, customer demand for our homes has been strong in spite of some wider macroeconomic uncertainty. With a strong order book in place, we are confident in our prospects for the remainder of the year and looking further ahead."