Are you keeping on top of the construction materials price increases?

You’ll be well aware that there have been considerable price increases in a wide range of construction materials.

There has been an unprecedented demand on materials in the last 12 months. Homes are being extended like never before. It has resulted in shortages, problems across the supply chain and in turn, cost inflation. The worldwide pandemic has impacted manufacture and transportation. Brexit has played its part as well.

You may find your bottom line is being affected by slower progress due to covid security, PPE and associated products.

John Newcomb, CEO of the Builders Merchants Federation spoke at the start of 2021. “We remain concerned over the capacity problems at UK container ports, which in recent weeks have demonstrated how quickly shortages and consequential price increases can occur.”  

Material shortages top concern

According to Builders Merchant News in February 2021, of their three top concerns, ‘almost half of roofing and cladding contractors put material shortages at the top of the list, according to a new State of the Roofing Industry Survey produced by Glenigan for the National Federation of Roofing Contractors.

‘Roof tiles were the most common material shortage reported by roofing contractors in the final quarter of 2020, with almost half of firms struggling to get hold of them (49%). Roofers also listed timber and battens (17%), slates (14%) and insulation (five per cent) as other materials in shortage.’

The Builders Merchant Journal in February 2021 shared a monthly report from the Timber Trade Federation. They found that the growth in the imports of the main timber and panel products in November 2020 of nearly 37% is in stark contrast to the 39% reduction in volume in April 2020.

David Hopkins, CEO of the Timber Trade Federation, has said: “Record volumes of timber are being brought in and absorbed by the market as quickly as they are coming off the dock, often by previous allocation.”

Homebuilding & Renovating quoted Rico Wojtulewicz, head of housing and planning policy at the National Federation of Builders, in February. “All materials from Europe, such as tiles, sanitaryware and stone are taking a while to get into the UK; most with cost increases.

‘Some of this is Brexit – teething problems with new paperwork and clearances, so we need the government to work on solutions here and with EU exporters.”

If you’re not across all the information, there’s a chance you won’t pass on the extra costs to your customers. And someone has to pay for the prices rises. So if you want to avoid being out of pocket we can help.

Send us your plans

The Price Tracker+ technology that the HBXL Estimating Service uses to produce customer quotations, tracks the national averages. It means we can keep on top of construction price increases and ensure the estimates being produced are up-to-date. So let us help take the strain. Give us a call on 0117 916 7894 to get the ball rolling or upload your plans here.  We’ll give you a no-obligation price for completing the work.

Ian Clark is the Account Manager for the HBXL Estimating Service