Bellway has reported higher completions and revenue in the first half of its financial year, but warned that geopolitical instability and cost pressures continue to cause problems.
The housebuilder completed around 4,700 homes in the six months to 31 January, with revenues rising to approximately £1.5bn and average selling prices also moving higher.
The group now expects to deliver between 9,300 and 9,500 homes this year, up from previous guidance, reflecting improved outlet performance and a more stable start to the spring selling season.
However, Bellway has trimmed its operating margin guidance to around 10.5%, as build cost inflation and the use of sales incentives continue to impact profitability.
The company highlighted increasing macroeconomic risks, with the ongoing conflict in the Middle East identified as a key concern for the sector.
Jason Honeyman, Bellway chief executive, commented: “The ongoing conflict in the Middle East heightens the risk of both inflationary cost pressures and an impact to customer demand, and we have already seen volatility return to the mortgage market”
Bellway added that it is focusing on capital efficiency and internal measures to help offset these pressures and support cash generation and shareholder returns.
While trading improved in early 2026, following a softer autumn period, the forward order book remains slightly below last year’s level, pointing to a housing market that is stabilising but remains highly sensitive to mortgage rates and affordability.
The results underline a continuing trend across the sector, with housebuilders driving volumes while margins remain under pressure amid an uneven recovery.
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