Sales of daily building materials plummet

The amount of construction materials bought every day across the UK has fallen by almost a tenth in just one year, data has revealed.

April’s Builders Merchant Building Index The report said like-for-like sales plunged 9.2% in the year to February 2024.

The monthly index, set up and maintained by insights experts MRA Research, is based on real POS tracking data.

Purchases from merchants fell 4.7% in February compared to the same month last year, but higher prices and an extra trading day due to a leap year masked the true extent of the decline.

Sales of timber and joinery products fell by 6.4%, heavy building materials by 7.9%, and sales of renewable energy and water-saving products plunged by more than a fifth.

However, there was some short-term joy for merchants, as real transaction volume increased by 9.7% month-on-month.

Sales of products in eight categories increased month-over-month, with landscaping products in particular becoming 17% more popular than in January due to heightened awareness of spring.

Sales of heavy construction materials increased, but plumbing, heating, electrical, and work and safety clothing performed worst.

“Repairs and maintenance are quietly holding on to the construction industry’s fortress as residential construction remains depressed,” said Mike Rigby, managing director at MRA Research.

He added that the Consumer Confidence Barometer, run by market insight firm GfK, showed sentiment to be stable in early 2024.

“Household bills have risen again since April, with consumers looking at their situation despite everything from council tax, road tax, water and broadband charges to stamps rising earlier in the month. “I’m surprisingly optimistic about this,” Rigby said.

“With inflation back below 4%, a potential rate cut in the summer and house prices rising again, there is reason for optimism given the prospects for a general election and a new government.”