Apparently, the construction industry is on the up once again with another month on the rise. This is even despite political uncertainty and a lack of workforce management ‘killing’ the industry.
According to a survey by the Federation of Master Builders, enquiries and workloads are on the rise. The survey also revealed that one in two small and medium sized construction companies are predicting that workload will increase too. However, alongside this though, 85% of builders believe that in addition to this, material prices will also be on the rise in the next three months.
However, alongside this though, 85% of builders believe that in addition to this, material prices will also be on the rise in the next three months. An additional 58% of companies also admitted that they were finding it difficult to hire carpenters. A warning from the Federation of Master Builders has also stated that builders could soon face a hike in costs too.
The director of the Federation of Master Builders stated: “in the first three months of this year, builders enjoyed growing workloads, rising numbers of enquiries and are increasingly confident about the future.”
“This progress within the SME building industry owes much to robust demand for both new homes and home improvement, the bread and butter of most small local builders.”
“A combination of the depreciation of sterling, which has the effect of driving up the prices of imported materials, and a worsening skills crisis, is inflating output costs considerably.”
“This essentially means that the builder is expecting to have to pass these costs onto the consumer.”
“Two in three construction SMEs are predicting that wages and salaries will rise in the coming months, and nearly nine in ten expect further material price inflation.”
“This is making the process of pricing work very complex.”
So what do you think? Are things on the rise for you? Let us know in the comments below.