July 9 (Reuters) - British housebuilder Vistry (VTYV.L) New Tab, opens new tab expects half-year profit to increase by about 7%, buoyed by resilient demand for its affordable homes from housing associations and the rental segment, it said on Tuesday.

Though delays to interest rate cuts have tempered hopes of a speedy recovery for the British housing market, the sector will be encouraged by the new Labour government's pledge to overhaul planning rules as part of efforts to build 1.5 million new homes over the next five years.

Vistry, with its focus on cheaper homes, is in a favourable position compared with some of its rivals.

"We look forward to working closely with the new government and are supportive of their plans to introduce mandatory housing targets, reform the national planning policy framework, add new planning officers and prioritise brownfield and 'grey belt' land," the company said in a trading statement.

Shares in the FTSE 100 (.FTSE) New Tab, opens new tab housebuilder were up 2% in early trading.

Britain's finance minister Rachel Reeves on Monday pledged to tackle the chronic shortage of new homes, adding weight to previous comments by Vistry CEO Greg Fitzgerald.

In March Fitzgerald said that the group expects to be able to build more homes under a Labour government.

Vistry on Tuesday forecast adjusted pretax profit of about 186 million pounds ($238.2 million) for the six months to June 30 and reiterated its 2024 full-year target to build more than 18,000 homes with profit coming in above last year.

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https://www.reuters.com/business/uk-homebuilder-vistry-sees-7-rise-half-year-profit-2024-07-09/