Yahoo Finance Brexit uncertainty hits major British builder Crest Nicholson
One of Britain’s biggest builders, Crest Nicholson (CRST.L), just reported that it has been hit by the uncertainty over Brexit.
Crest Nicholson said pre-tax profits fell 15% to £176.4m ($231.8m) in the year to the end of October.
“We have faced some challenges in London and with sales at higher price points where political and economic uncertainty has adversely impacted customer demand and this is likely to continue pending Brexit resolution,” said Patrick Bergin, CEO of Crest Nicholson in a statement.
Although sales jumped 7% in the period to £1.1bn, and Bergin said “forward sales are strong… pricing is stable, [and] build cost inflation has moderated,” shares in the builder tumbled in the market open.
Today, UK parliament will table amendments, with possible changes to the Irish ‘backstop’ element of the deal, and vote on prime minister Theresa May’s Brexit deal at 7pm local time.
It is unclear how the political deadlock will pan out in Britain because her deal was previously voted down, by British MPs, and the EU said it will not renegotiate the agreement she arranged with member states.
However there is a possibility that Brexit will be delayed as MPs may push to extend Article 50 — the notification that Britain will leave the European Union.
