Housebuilder Taylor Wimpey saw UK gains wiped out by overseas write-downs, causing the group to make a loss for 2007.

UK operations recorded a 14% rise in pre-tax profit to £608.5 million for the year. Improved margins offset a 6% fall in completion numbers to 20,690.

The average selling prices of its houses increased by £2,000 to £186,000.

Unfortunately poor conditions in the US - which accounts for nearly a fifth of total sales - and Spain saw the group take a near £300 million write off on land and property in the countries.

The overall group performance saw Taylor Wimpey made a pre-tax loss of £19.5 million for 2007, compared to £409.5 million profit a year earlier.

Chief executive Pete Redfern said he continued to anticipate a 'more difficult' trading environment in the UK this year, with no significant improvement expected in the US.

Despite the negative turn, shares in Taylor Wimpey advanced by 2% to 167.9p.