Vistry, one of Britain’s largest housebuilders, reported a pre-tax loss of £661m for the first half of 2026, against a £41m profit a year earlier. Most of that is write-downs. The more consequential news is the plan attached to it: a smaller company, building fewer homes, in fewer places.
Where the loss came from
Two charges dominate the headline figure, both reported by Construction Enquirer, Inside Housing and City AM: a £475m goodwill impairment and a further £73m provision for building-safety work. Strip out one-off items and the adjusted loss was about £83m, according to Construction Enquirer and Inside Housing. Completions fell 8% to 6,304 homes over the half.
City AM reports that Vistry has also cut its full-year adjusted profit target by £40m, to £165m, and that the shares fell about 7% in early trading, leaving them roughly 60% lower this year.
A deliberate shrink
Chief executive Adam Daniels is cutting Vistry’s operating regions from 25 to 12, according to Construction Enquirer and Inside Housing, and targeting around 12,000 completions a year, 60% partner-funded and 40% for open-market sale. Construction Enquirer reports that Vistry will stop building open-market homes in the South East and concentrate on the North, the Midlands and the West, and that its owned landbank will fall from about 51,000 plots to 36,000.
Daniels replaced Greg Fitzgerald, who retired in March and had led the group’s move toward partner-funded housebuilding, City AM reports. The new plan does not abandon that model. It narrows the company around it, trading volume and geographic reach for lower debt and steadier cash.
The balance sheet behind the reset
Debt is the pressure driving all of this. Average daily net debt was just under £800m in the half, according to Construction Enquirer and Inside Housing, and the target is about £500m next year. Construction Enquirer reports that lenders have waived interest-cover covenants through the first half of 2027, with talks planned on £900m of facilities that mature in April 2028.
What is still unclear
Vistry has not set out how many jobs go with the move from 25 regions to 12. Nor is it clear how quickly the South East exit will happen, or what becomes of the land and sites it already holds there. Those details will decide how the reset lands for staff and homebuyers, and they have not been published yet.
Frequently Asked Questions
Why did Vistry make a loss?
Vistry’s £661m half-year pre-tax loss came mainly from a £475m goodwill impairment and a £73m building-safety provision; its adjusted loss was about £83m.
Is Vistry stopping building homes in the South East?
Vistry will stop building open-market homes in the South East and focus on the North, Midlands and West, according to Construction Enquirer.
Sources
- Vistry slashes regions as £661m loss lays bare scale of reset — Construction Enquirer
- Vistry reports £660m first-half loss as boss announces transition to ‘smaller business’ — Inside Housing
- Vistry takes £500m hit as new boss downsizes housebuilder — City AM