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		</div><p><a href="http://londonglossy.com/wp-content/uploads/2011/02/housebuilding-firms-to-post-profit.jpg"><img class="alignnone size-full" title="Building firms Taylor Wimpey and Persimmon are expected to report increased profits this week" src="http://londonglossy.com/wp-content/uploads/2011/02/min-housebuilding-firms-to-post-profit.jpg" alt="Building firms Taylor Wimpey and Persimmon are expected to report increased profits this week"/></a></p>
<p>Two of the UK&#8217;s biggest housebuilders, Taylor Wimpey and Persimmon, are due to shrug off the gloom surrounding the property market when they report significant increases in profits.</p>
<p>Both housebuilders have provided bullish trading updates in recent months and are expected to report strong performances in the second half of 2010 despite the Comprehensive Spending Review in the autumn which deterred buyers and the snow in December which disrupted sales and building work.</p>
<p>Rivals Barratt Developments and Redrow have both posted upbeat results in recent weeks after they built more family homes rather than flats to reduce their exposure to first time buyers struggling to get mortgages.</p>
<p>Taylor Wimpey is forecast to post pre-exceptional pre-tax profits of £51.2 million in 2010 on Thursday, compared to losses of £96.1 million the previous year, as it cuts costs in the UK and sees strong sales growth in the US. Revenues are expected to be flat at £2.6 billion.</p>
<p>Meanwhile, Persimmon is expected to report on Tuesday pre-exceptional pre-tax profits of £88 million, up from £7 million in the previous year. </p>
<p>In January, it said it had achieved a significant increase in underlying profits for 2010 after turnover lifted by 10% to around £1.57 billion. This followed the completion of 9,384 sales in the year at an average price of £167,000, itself an improvement of 6%. The housebuilder has doubled its margin to 8% over the past year, helped by building more family sized homes and less apartments.</p>
<p>And insurance giant Aviva is expected to make further progress on the back of strong recent sales growth, while profits should also benefit from the group&#8217;s ongoing efficiency measures on Wednesday.</p>
<p>The City expects the company to report operating profits of between £2.2 billion and £2.4 billion in 2010 on the back of strong sales growth in the UK, compared to profits last year of £2 billion.</p>
<p>When Aviva last updated the market, with its third quarter results, it reported a 26% increase in sales to £2.4 billion. The sales trend improved in the third quarter and pushed the rate for the first nine months of the year up to 16% at £12.3 billion, while worldwide new business rose 5%.</p>
<p>The market will also be on the look out for any news of the group&#8217;s plans to reduce its expenditure. Aviva has earmarked £200 million of efficiency savings and £200 million of cost savings by the end of 2012, of which half will come from the UK. This comes after the life and pensions arm saved £500 million between 2007 and 2009 in a move that saw it reduce its headcount by 19%.</p>
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