Barratt Redrow has published its full-year results, revealing that the company’s costs for correcting historical defects now total more than £1bn.
The group stated in its results that its “legacy property provision” was £1,073.8m, and expected to incur cash costs of ”approximately £250m” during the 2026 financial year.
Of that, £886.4m relates to post-Grenfell building safety works, and £187.4m relates to reinforced concrete frame buildings. The group commented that the charges for legacy property related remediation costs “reflected current best estimates of the extent and future costs of work required,” but that they “may update these figures as assessments and work progress.”
Following investigations after the Redrow acquisition, issues were identified on a further four developments in London, the company explained.
The company said it is actively seeking to recover a portion of costs from contractors, designers, and other supply chain partners involved in the affected projects. They also stressed that work is underway to ensure residents are kept safe.
Despite the burden of these legacy bills, Barratt Redrow reported a resilient trading performance in a difficult market, underpinned by demand in key regions and the early stages of integration between the two housebuilding giants.
David Thomas, chief executive of Barratt Redrow plc said,
“We have delivered a solid performance in a tough market, with adjusted profits ahead of expectations despite home completions coming in slightly below our guided range.”
He continued,
“While the housing market remains challenging and we anticipate limited growth in FY26, the long-term fundamentals of the sector remain compelling.”