HOUSEBUILDER Taylor Wimpey is back in the black – but said it continued to run the business cautiously in the face of pressure on mortgage lending.

The housebuilder, which has shifted its focus onto maximising the value of each home sold, said pre-tax profits before one-off items were £75.1m in 2010. That compares with losses of £96.1m the previous year.

The group said it was on track to achieve its target of double-digit operating margins from its UK business in 2012. UK operating margins jumped to 7.1% in 2010 from 1.7% in 2009.

The year also saw Taylor agree new lending terms with its banks in a move that has removed a number of operational restrictions.