Construction Costs Soar as UK Output Dips
Construction across the UK is feeling the squeeze. Rising prices for materials have pushed monthly construction output down by 0.2% in May 2023, hitting £15.36 billion, according to the latest figures from the 123. This disruption has battered industries reliant on timber like fencing, cladding, and flooring suppliers.
Booming Demand Adds Fuel to the Fire
Growing urban populations and a housing boom have pushed up demand for bricks, cement, timber, and steel. The Covid-19 pandemic also triggered material shortages, leaving businesses scrambling for supplies and driving prices higher.
Climate Change Wrecks Timber Supplies
Extreme weather events linked to climate change are hammering timber production. Wildfires destroy vast forest areas, while floods and storms disrupt harvesting and transport—pushing wood prices through the roof.
What’s Next for Construction Costs?
With inflation, supply chain headaches, surging demand, and climate woes all converging, the price of construction materials looks set to remain volatile. Industry watchers will be keeping a close eye on how these factors play out in the months ahead.
