Innes Smith, Springfield Properties By Scott Wright THE boss of Springfield Properties has declared the housebuilding sector no longer needs Government support as the Scottish firm reported strong profits and revenue growth in its interim results. Innes Smith, chief executive of the Elgin-based group, told The Herald that the record profits being made by housebuilders show the industry does not need help at state-level to boost sales. He argues support should be given to sectors which are more in need. Mr Smith’s comments came as Springfield reported a 42.9 per cent rise in adjusted pre-tax profits to £9 million for the six months ended November 30. Turnover grew by 18.3% to £94.4m as the firm took advantage of “pent-up” demand that built up during the first lockdown. A total of 443 homes were completed, up from 438.
Alan Penman, business development manager at Walker Fraser Steele, said:
“The Scottish housing market passed a notable milestone at the end of 2020, as the average property price rose above £200,000 for the first time ever.
“This new record follows a year of extraordinary growth in the Scottish market – the average price increased by over 8% during the last year and 11% over the last two years.
“The increase in the threshold for the Land and Buildings Transaction Tax (LBTT) played a key role in stimulating the market over 2020.
“Indeed, the average number of monthly property transactions in 2020 doubled since the measure was introduced in July, though the easing of coronavirus restrictions may also have played an important part in the increase in activity.