Builder’s sales race ahead after athletes’ village work

Builder Mactaggart & Mickel enjoyed a 78 per cent jump in profits last year as confidence gradually returned to the Scottish housing market.

M&Ms contracts division had role in Glasgow Games village. Picture: SNS

However, the Glasgow-based group’s £2.4 million haul is still a long way short of the £18m it made in the last year before the financial crisis.

The company has diversified since then, and its contracts division was one of the main drivers of growth in the 12 months to 30 April thanks to its role in building the Glasgow 2014 athletes’ village. Turnover at the division more than tripled, to £21.5m. Across the group, revenues were up 48 per cent at £56m.

The housebuilding division recovered from slow sales at the start of the period but a gradual pick up in confidence from late 2012 onwards helped it meet its target of completing 108 properties.

Chief executive Ed Monaghan said the upward trend has continued since April, with the firm starting work on new sites in anticipation that interest from buyers will continue to grow.

He said: “Even last year we were able to see a slight improvement in the market, not in prices but in customer confidence.”

The improving trend came before the Scottish Government launched its version of the Help to Buy scheme last month, which is now expected to provide a further boost.

Monaghan, who is also chair of Construction Scotland, said the sector is now working hard to recruit staff and train them in modern building techniques.