Trading Statement

Persimmon PLC
26 June 2006



                     TRADING UPDATE - MONDAY 26TH JUNE 2006


Persimmon plc announces the following trading update ahead of its Interim
Results to 30th June 2006, which will be announced on Tuesday 22nd August 2006.

The six months to 30th June 2006 has been another successful period for
Persimmon. Sales reservations so far this year on a like for like basis have
been ahead of the prior year by c. 7%. Total sales revenue to date for the full
year 2006, including c. 8,000 legal completions already achieved is c. £2.4
billion (H1 2005: £1.78 billion) from c. 13,000 units (H1 2005: 9,974). This is
a strong sales position to have achieved at this stage of the year.

We have also completed the integration of Westbury since we acquired it on 17th
January 2006 and achieved all our short term objectives. Specifically, we have
reduced the relatively high levels of work in progress in that business by
targeting the sale of stock units and reducing the level of part exchange
properties. We have also managed the acquired land assets in line with our
original plans. This action has accelerated the reduction in debt levels ahead
of our initial estimates. Gearing will be c. 55% at 30th June 2006 and is a
significant reduction from the level of 80% gearing immediately following the
Westbury acquisition.

The housing market continues to be active and is operating at a satisfactory
level which provides us with the opportunity to develop further our business. As
previously stated, we expect to see a modest level of price inflation this year
in both selling prices and build costs. Incentives continue to be offered on a
selective basis and selling costs are running at similar levels to the second
half of 2005.

As stated above, the enlarged Group will have legally completed c. 8,000 units
during the six months to 30th June 2006 (H1 2005: 5,954 units) an increase of 
c. 34% at an average selling price of c. £188,000 (H1 2005: £183,581). Turnover
will be over £1.5 billion (H1 2005: £1.09 billion). As expected, margins are
being diluted by the impact of the Westbury acquisition. However, the action we
have taken on the Westbury sites will result in the improvement of those margins
over future months. We also continue to focus on maximising margins in what
continues to be a competitive housing market.

We currently have a landbank of c.78,000 plots owned or under control. In
addition, during the period we have made satisfactory progress with several
exciting land opportunities held in our strategic land portfolio including some
of that acquired with the Westbury acquisition. We expect to give more detailed
information on these situations as matters progress over the next few months.

We have made good progress during the period and are in a strong position to
move forward. Debt levels have been reduced in advance of our plans, we now have
the appropriate level of work in progress and land investment, and with our
healthy forward order book are on track to deliver further growth during 2006 in
line with existing expectations.

We will give further details when we announce our Interim Results on Tuesday
22nd August 2006.

For further information, please contact:

Persimmon plc                             Finsbury Group
John White, Group Executive Chairman      Faeth Birch / Kirsty Flockhart
Mike Farley, Group Chief Executive        Tel: [phone]
Mike Killoran, Group Finance Director
Tel: [phone] on 26 June 2006
Tel: [phone] thereafter






                      This information is provided by RNS
            The company news service from the London Stock Exchange