Berkeley Group remained positive about the housing market, despite predicting little movement in house prices during the next 12 months and reporting lower full-year profit.
Chairman Roger Lewis said that, while the boom times experienced over the last four years had ended, it did not signify a crash. He predicted that house price inflation would be flat this year.
The group announced that it was slimming down its business to concentrate on urban redevelopment schemes.
The FT writes that Berkeley’s dividend payment of a further £2 a share this December could be the way forward for housebuilders seeking to assure shareholders about the market.
References: Financial Times 25/06/05 page 5, The Times Business 25/06/05 page 59, The Guardian 25/06/05 page 30. The Independent 25/06/05 page 46
