The FTSE 100 closed the week at 5,962.90, down slightly on the day by 24.6 points. Persimmon, the only housebuilder in the FTSE 100 was the biggest casualty, closing 40 points lower at 749.5p. (more…)

Persimmon has reported that reservations were down sharply and its forward order book is down from £1.3bn last year to £1.05bn, a fall of 19%. Other key performance indicators don’t make positive reading - cancellations are up 20% and visitors to sites are down 13%. The news confirms the woes of the property sector.

Despite the bad news coming from Persimmon, the company managed to record a 1% rise in profits for 2007, up to £585.1m. Whilst the number of houses sold fell by 5%, the average price increased from £188,129 to £189,558. Not surprisingly, Persimmon has a cautious approach to future prospects.