Barratt urges Government to cut business regulation

Housebuilder Barratt Developments today said it will swing back into the black in the six months to June as it urged the new Government to cut red tape.

The firm forecast a second-half profit after racking up 18 months of losses including £48.5 million in the first half of the year.

Chief executive Mark Clare said the average selling price was expected to be about 15% higher in the second half than in the period last year as the housing market recovers and it sells more houses than flats.

He said: "While the market has seen a measure of recovery we remain cautious given continuing economic uncertainty and constrained lending."

Clare said the Government's priority was to cut the deficit: "We hope that the Tories will follow up on their pledges to cut waste, to cut costs, and to cut regulation."