In the past year, overseas buyers hunting for a property bargain in London had helped support earnings at the British up market apartment developer Berkeley Group, the Company said.

As equity-rich foreign investors were lured by striking pricing and a weak sterling, Berkeley, which has championed deluxe riverside developments in London, said its focus on the capital and the southeast had helped prop up sales during the slump.

Rob Perrins, Berkeley's Managing Director said "Our location helps a lot, London has got the Olympics coming, it's got the business sector; everyone thought businesses would relocate, but the coalition is a lot more business-friendly, that's a very good start for us”.

More than double the historic level of 12%, Perrins said that 30% of investors were now from outside the UK.

After an impermanent slip around the election in May, the domestic market had stabilized during the year and had improved, but remained at a relatively subdued level.

The group stated a pretax profit for the year to end-April of 110.3 million pounds, down 8.4% on the year before but topping expectations in a range of 97.8 million to 108.5 million according to a Thomson Reuters I/B/E/S poll of 9 analysts. Revenue fell 12% to 615 million.

After the coalition Government's emergency budget unveiled no malicious surprises for the sector, British house builders breathed a sigh of respite.