Trading Statement

Bovis Homes Group PLC
                  

Bovis Homes Group PLC

Trading update

6 July 2006

Bovis Homes Group PLC is today issuing a trading update ahead of reporting its
interim results for the six months ended 30 June 2006 which will be announced on
11 September 2006.

The Group has experienced a steady housing market in the first six months of
2006, with modest increases in house prices.

The Group legally completed 1,262 homes in the first half of 2006 compared with
1,089 legal completions in the first half of 2005, representing a 16% increase.
Included within the legal completion total were 141 social housing units (11.2%
of total legal completions) and this compared with 246 social housing units in
the first half of 2005 (22.6% of total legal completions). A more significant
proportion of the Group's social houses for 2006 are scheduled to be completed
in the second half of the year.

The average sales price achieved during the first six months was £188,700
compared with £179,700 in the corresponding period in 2005. This improvement in
average sales price of 5.0% was in part due to the reduced contribution from
social housing in the housing mix.

The Group's gross margin for the first half of 2006 was in line with the prior
year's first half gross margin, contributed to by the improved mix, including
the aforementioned lower contribution from social housing. Profits arising from
land sales reduced year on year to approximately £6.0 million compared with £9.0
million in 2005. The Group's operating margin for the half year is anticipated
to be broadly in line with the prior year's operating margin for the
corresponding period.

The Group closed the half year with gearing at circa 5%. The Group has remained
cautious in respect of purchasing land with outline planning consent as land
prices remain high, and has continued its emphasis on converting strategic
landholdings. The Group ended the half year to 30 June 2006 with approximately
12,500 plots in its consented land bank.

As at 30 June 2006, the Group had secured 2,273 cumulative reservations
(excluding forward sales for 2007) compared with 2,038 reservations for the
corresponding period in 2005. Included within the cumulative reservations total
as at 30 June 2006 were 492 social housing reservations compared with 639 social
housing reservations in the comparable period of 2005.

Looking forward to the second half of 2006, the Group is in a good position to
expand and deliver shareholder value. Based upon the Group's trading experience
to date and the outlook for the second half of the year, the Board has not
revised its expectation of profits for the full year.
Enquiries:  Malcolm Harris, Chief Executive       Emily Bruning / Sarah Nicholls
            Bovis Homes Group PLC                 Shared Value Limited
            Tel: [phone]                    tel: [phone]