Persimmon turns down government coronavirus help as finances remain strong
Housebuilder Persimmon has again ruled out using UK government financial aid schemes in the wake of the Covid-19 outbreak and added that customer enquiries were at "good levels" during the lockdown.
The FTSE 100 firm noted it made a "strong start" to the year, with its average private sales rate per site about 10 per cent higher annually over the first 11 weeks.
"Customer enquiries have remained at good levels through the lockdown period providing some encouragement on the resilience of demand," Persimmon said.
The firm has sites in the Black Country, Shropshire and Staffordshire, and its West Midlands office at Broadlands, Wolverhampton.
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Its forward sales book, though "robust", stands at £2.4 billion, an 11 per cent decline year-on-year from £2.7bn.
Last Friday, Persimmon said it will begin a phased reopening of its construction sites this week following similar announcements made by peers Taylor Wimpey and Vistry Group.
Persimmon has now affirmed it has "has not made use of the government's coronavirus job retention scheme to furlough staff and has no current plans to access any UK government's Covid-19 funding".
CEO Dave Jenkinson said: "Our strong financial position and liquidity has enabled us to maintain our operational capability by retaining all staff on full pay through this period, without recourse to any government financial assistance.
"Persimmon is responding to the crisis from a position of strength, to the benefit of all its stakeholders; our long-term strategy and business model recognises the cyclical nature of the housing market, minimises financial risk through the cycle, and provides the flexibility needed to manage effectively through this difficult period."
