Taylor Wimpey has hailed an “excellent” 2014 as profits rose more than 50 per cent.

Operating profit for 2014 was up 54 per cent to £480.7 million (2013: £312.9m) meaning that the operating margin improved from 13.6 per cent to 17.9 per cent.

Reported pre-tax profit for 2014 was £468.8m, up 53 per cent from £306.2m in 2013.

The firm built 12,454 homes across the UK in 2014, up 6.5 per cent on 2013. Average selling price was up 11.5 per cent to £213k (2013: 11,696 homes at £191k). The result was a 17 per cent rise in group revenues to £2,686.1m (2013: £2,295.5m)

Taylor Wimpey’s results come despite what it calls a housing market currently underpinned by “a significant structural demand and supply imbalance”.

The company said: “Housing remains high on the political agenda with recognition of the importance of housebuilding to the economy and the need for more quality homes in the UK by all of the main political parties. Whilst there remains uncertainty around the outcome of the general election in May, consumer confidence remains solid and is supported by healthy underlying demand, low interest rates and high levels of employment. We therefore consider that the UK near term market risk is low.”

Pete Redfern, chief executive, said: “2014 was an excellent year for Taylor Wimpey, delivering a 54 per cent increase in operating profit whilst contributing £300m to communities via planning obligations, providing key infrastructure, education and affordable housing. The beginning of spring selling season has seen trading at the better end of expectations. Customer confidence is high with good levels of employment and an affordable mortgage environment.

“The UK housing market remains healthy and we are very confident in our ability to maximise returns on our investments whilst continuing to invest in the underlying quality of the business. We believe that the current strong performance can be sustained and improved and therefore we have proposed a doubling of the 2014 maintenance dividend pay-out to the top end of our dividend policy range.”