Difficult times for house builders are reminiscent of late '80s and early '90s

摘要

"Without doubt the most difficult year for house builders in the UK in the last 30 years," said Persimmon. Bovis similarly observes "a continuation of the deep recession in the house building industry with a further decline in prices". Barratt meanwhile is coming off its "first loss in the group's history". Gloomy times indeed. But these tales of woe are taken from 1992 rather than 2008. Looking at the accounts of some of the major house builders during the late 1980s and early 1990s, suggests that 1991 and 1992 were truly the nadir of a prolonged recession in house building which began towards the end of 1988. Norman Lamont's "green shoots of recovery" would not start to emerge until 1993 - five years later. Indeed, the sentiment in the first half of 1988 was similar to that in the first half of 2007.