AGM Statement

Barratt Developments PLC
03 December 2002


                       Statement made by Mr Charles Toner
                      Chairman of Barratt Developments PLC
                         at the Annual General Meeting
                       held on Tuesday 3rd December 2002


It is my sad duty to report to the meeting that Frank Eaton, the former Chairman
and Chief Executive, was tragically killed in a road accident on 7th October
2002.  As I have said before, he was a man of exceptional ability, highly
respected throughout this Company, the entire industry and by all who knew him.
He gave 23 years total commitment to the Company.  I would like to place on
record our deep sadness at Frank Eaton's death and immense gratitude for the
dedicated leadership he gave the Company throughout his period of office.

I would now like to take the opportunity to comment on our results for the
financial year ended 30th June 2002 and also to update you on current trading
conditions since 1st July and our prospects for the current financial year.

Last year was our most successful year to date, delivering record pre-tax
profits, up 23% to £220.0m and a 25% increase in earnings per share. The latter
was particularly pleasing as this was our tenth successive year of uninterrupted
growth, during which time we have increased earnings per share by an average of
over 20% a year.

Our consistent performance has enabled us to continue to grow organically and
secure our land stocks. In the period we acquired 17,200 plots, 40% more than we
used, increasing total land stocks at the year end to over 40,000 plots. In
addition we had a further 4,000 plots under contract and 5,000 plots agreed
subject to contract, giving a land bank of over 49,000 plots secured and being
processed.  We were also successful in bringing a record 16,000 plots through to
planning consent, which is more than sufficient to service our new financial
year requirements.  We continued to secure more land on deferred terms and this
tight control on investment, coupled with our exceptional sales performance,
produced one of the highest returns on capital in our industry at over 31%.

The overall market progressively strengthened throughout the year.  In the
South, the overly buoyant levels we experienced moderated towards the end of our
financial year, whilst in the North our markets improved throughout the year.
The quality and geographical spread of our development locations, together with
our wide range of house styles serving all sectors of the market, helped to
deliver a further increase in sales reservations, up 12% year on year. This in
turn enabled us to start our new financial year with record forward sales, up
30% to £620m.

During the year the quality of the product and service we provide to our buyers
has again been recognised by numerous top industry awards. We were voted Major
Housebuilder of the Year for a record third time in this year's Building Awards
and in the National House Building Council's Pride In The Job campaign our site
management teams have won further awards for quality workmanship. We also won
other awards for quality, service and product design and, in the Green Leaf
Awards for the environment, we won no fewer than 20 awards, more than any other
housebuilder.

Page Two


Overall an excellent performance, increasing our volume, margins, profits and
earnings per share. This extends to ten years our unrivalled track record of
improving all our key financial statistics, whatever the market conditions - the
only major housebuilder to do so.

As we move forward through our new financial year, I am pleased to report that
we continue to produce an excellent sales performance. Since the beginning of
the year sales reservations are up 10% year on year, producing advance sales of
over £800m which, together with legal completions to date, secures over 70% of
our full year projected sales.

The new homes market is underpinned by a lack of supply due to planning
constraints, strong demand and low interest rates.  All of our regional markets
remain strong and we continue to achieve average selling price increases in line
with expectations, without any increase in our selling costs.  This, coupled
with our stringent control of overheads and construction costs, gives us great
confidence.  We remain fully on course to achieve further sound growth.

Your Company has a strong and experienced management team.


  • Our financial position is strong.

  • Our investment in securing adequate land stocks has been well placed;

  • Our experience in pursuing planning applications is also a strength, as we
    demonstrated in the last year by obtaining more planning consents than any
    other housebuilder;

  • We are a leader in urban regeneration with well over 75% of our land
    having had a former use, comfortably exceeding the Government's 60% target;

  • We have a wide range of house styles to meet the aspirations of today's
    home buyers across all price sectors and all regions of the country.

  • We have the proven marketing skills to continue our sales success, with
    all of our regions achieving sales increases year on year;


Looking ahead, our corporate objectives and values are unchanged.  We are
committed to continuing the Company's successful strategy of improving earnings
per share and generating shareholder value.  The Board had no hesitation in
appointing David Pretty, the Group Managing Director, as Group Chief Executive
in succession to Frank Eaton, the two having worked closely together for a good
number of years.  I am confident that under David Pretty's leadership the
management team is well equipped to meet the challenges in our market and to
continue the sound progress that we have made in recent years.




Charles Toner
Chairman                                                       3rd December 2002




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