Shares in Kent-based housebuilder Vistry (LSE: VTY) rose by 18% on August 25, 2026, following the announcement of a £350 million allocation from the government's £39 billion social and affordable homes programme. This funding package represents the largest possible award in the first round of allocations, totalling £9.5 billion, and is higher than the £278 million received under the previous programme.
Vistry stated it plans to deploy these funds immediately to develop over 3,000 affordable homes. The per-home funding has increased to £116,000, up from £79,000 previously.
The company, which delivers approximately 15% of the UK's social and affordable homes, has faced challenges, including six profit warnings since March 2023. In the first half of 2026, Vistry reported a pre-tax loss of about £30 million, following a £40 million loss in the first half of 2025. Despite these issues, brokers like Panmure Liberum and Peel Hunt are optimistic about future performance, forecasting a rebound in pre-tax profit by 2027.