Trading Statement

Bovis Homes Group PLC
                  

                              Bovis Homes Group PLC

                                 Trading Update

                                 11 January 2008

Bovis Homes Group PLC is today issuing the following trading update ahead of
reporting its preliminary results for the year ended 31 December 2007 on Monday,
10 March 2008.

Against a backdrop of declining consumer confidence, strongly influenced by
events in the banking and financial markets over the second half of 2007, the
Group has concentrated upon delivering good margins, and was able to increase
the average private home sales price for 2007 by circa 4%. The average sales
price of the Group's legal completions as a whole for 2007 reduced to £179,400
(2006: £183,700) as a result of changes in mix, predominantly arising from the
increase in the sales mix of social and partnership housing, which has increased
in contribution to 22% in 2007 from 13% in 2006. The volume of legal completions
for 2007 decreased by 193, from 3,123 homes in 2006 to 2,930 homes in 2007. Land
sales and other income were in line with the Group's expectations.

Encouragingly, as a result of the Group's focus, profit margins have remained
strong and the Group anticipates an operating margin, prior to the impact of
one-off acquisition costs, broadly in line with that achieved at the half year.

Following significant investment in the second half of 2007, namely the
successful acquisition of Elite Homes in the North and the purchase of a key
strategic site at Filton in Bristol, the Group closed 2007 with £43 million of
net borrowings. Net financing charges for 2007 were slightly lower than
expected.

The Group anticipates pre-tax profits for the 2007 financial year to be broadly
in line with the current average of analysts' forecasts.

Looking ahead, a number of external market metrics suggest that activity in the
UK housing market has slowed: both in terms of the lower rate of house price
growth, and in terms of the reduced number of new mortgages being issued. Given
the rapid rate of emergence of these trends and an expectation that interest
rate cuts will continue, the outlook for 2008 is not clear at present. The Group
is focusing on the key spring selling season as a likely guide to progress
during this year. Reflecting the slow down in activity during the second half of
2007, the Group's 2008 forward sales position as at 31 December 2007 stood at
816 reservations. This is some 19% lower than the very strong comparable
position at 31 December 2006, but is some 23% ahead of the comparable position
at 31 December 2005.

Although the shorter term outlook is unclear, the Group remains confident of its
longer term prospects. This confidence is fuelled by the well publicised supply
and demand dynamic in the UK housing market and the support and encouragement
that the Government is providing to the housebuilding sector in its efforts to
drive the house building activity necessary to support the development of the UK
economy going forward.

Conference Call for analysts

Please note that Malcolm Harris, Chief Executive, David Ritchie, Group Managing
Director and Neil Cooper, Group Finance Director of Bovis Homes will host a
conference call at 09:00am today, Friday 11th January 2008, to discuss the
year-end trading update.

To access the call please dial 020 7806 1966 and quote passcode: 4217263. Please
dial in 5 minutes prior to the start of the conference call to allow time for
registration. A recording of the conference call will be available until
midnight on 17th January 2008, commencing approximately 30 minutes after the
live call has finished, on: 020 7806 1970, access code: 4217263#.

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Enquiries:         Malcolm Harris, Chief Executive
                   Bovis Homes Group Plc
                   Tel: [phone]

                   Neil Cooper, Finance Director
                   Bovis Homes Group Plc
                   Tel: [phone]

                   Emily Bruning
                   Shared Value Limited
                   Tel: [phone]
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