Construction group says there was a 29% fall in housing reservations in the second half of 2007

Miller Group has recorded a sharp drop in housing reservations in the second half of 2007.

There was a 29% fall compared to an 18% drop over the year.

Keith Miller
Miller: "Level of fall is pretty serious"

Chief executive Keith Miller said there was no sign of an early turnaround. “That level of fall is pretty serious but the problem is mirrored elsewhere."

“The fundamentals are still pretty strong though and there is good underlying demand for housing. Further interest rate cuts and the added release of land will help.”

Miller said profits would be “slightly behind last year”.

In the construction division, the group anticipated turnover growth to £400m. Miller said the arm was “in pretty good shape” and pointed to a healthy order book of £600m.

He also said the group would be more selective in bidding for PPP work. “It’s hard work bidding for these things and the competitive dialogue process can be tortuous.”

See Building magazine on Friday for more on Miller’s financial results and the latest on the shareholder dispute.

The group will report its full results in March.

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