Barratt said it had hit record levels of completed homes outside London but overall totals where hit by a drop in the capital despite a “significant uplift” expected in the second half.

Shareholders will also continue to see dividends shoveled their way with £1.4bn of payments planned in the four years to November 2018.

The firm said: “There remains a long term housing shortage of all tenures that can be addressed through additional supply in the right locations. We are committed to playing a leading role in addressing this issue.”

Barratt currently has a land bank of 77,000 plots and is continuing to explore new ways of alleviating skills shortages.

It said: “On labour, we continue to see some pressure on skilled labour supply with shortages remaining location and trade specific. However, whilst labour costs are still rising, the rate of increase is moderating.

“We are also seeking to increase construction efficiency and reduce demand on labour through the use of alternative build options such as timber frames, large format block and light gauge steel frames.

“We are implementing a number of key initiatives in terms of improving efficiency.

“In addition to building around 1,300 homes during FY17 using timber frames we have completed trials of light gauge steel frames and large format block which give the business additional options with similar benefits as timber frame ensuring we are future proofing our business.

“We continue to trial various offsite technologies and innovative products and we are investing in research into smart technologies.”