Nine in ten builders ‘face soaring costs and lack of materials owing to Covid and Brexit uncertainty’

NINE in ten builders face soaring costs and lack of materials owing to Covid and Brexit uncertainty, a survey has found.

Just four in ten small and medium sized construction firms reported a rise in workloads in the last three months, according to a survey by the Federation of Master Builders (FMB).

Builders reported slowing workloads combined with rising material prices and shortages of key stocks have left them facing a cliff-edge next month.

The latest findings from the FMB’s State of Trade survey paints a worrying picture for the nation’s brickies.

The FMB last night called on the Government to address the mounting concerns over construction supply chains ahead of the end of the Brexit transition period, which will end EU rules and tariff-free trade on goods coming in and out of Europe.

The survey found that after a busy summer, workloads are slowing.

Rising unemployment and continued economic uncertainty has led to homeowners holding off planning home improvements next year.

Builders in the commercial sector are also reporting contracting workloads.

Added to that are rising material prices combined with key shortages in timber, tilin, white goods and PVC windows and doors.

Despite soaring unemployment triggered by Covid, the construction industry has also been hit with problems in the workforce, with one in three builders struggling to hire bricklayers and one in four struggling to hire carpenters.

FMB chief Brian Berry said: “Builders are facing significant material shortages and growing waiting times for the products they need. With the end of the Brexit transition period only weeks away, builders need confidence that they will not face delays at the ports and price hikes going into 2021. With 87% of builders forecasting material price hikes, recovery risks grinding to a halt if these issues are not resolved.”

He added: “In the face of rising unemployment and continued economic uncertainty, my members are reporting that homeowners are holding off planning home improvements next year. Builders in the new build and industrial or commercial sectors are also reporting contracting workloads.

“By investing in a long-term plan to green our existing homes, and by ramping up funding for local authority planning departments, the Government can help support recovery and job retention in construction.”