Bellway, which has built more than 100,000 houses in the UK since WWII, will report worse than expected numbers for the year to July, with the knock to its operating margin being double its predictions in the pre-close guidance.

In its June interim management statement, Bellway said it expected a 10 – 15 per cent drop in the number of homes sold. According to Thursday’s trading update, the number of homes sold fell in line with expectations, easing back 14.2 per cent to 6,556, however the operating margin decline has been more severe than outlined in June.