Redrow plc (LON:RDW) expects a significant impact on sales in the coming weeks as the government’s new social distancing initiatives take effect.
Net reservations last week were similar to the previous year but there were far fewer visitors to the sites and cancellations rose, said the housebuilder.
Boris Johnson imposed the restrictions on people going out last night and build output is likely to be seriously affected by labour and material shortages, while planning committee meetings are also set to be delayed.
Up until last week, trading had been strong said Redrow with higher reservations and a £1.4bn order book.
To protect cashflow, the interim dividend has been scrapped saving £37mln while new land purchases are on hold.
Net debt is £116mln, which will substantially over the coming month as a high volume of homes legally complete it added.