Small construction companies are enjoying the strongest workload increase in a decade, but it has been accompanied by a surge in materials costs, according to the Federation of Master Builders.
Almost all small builders (93%) have reported higher costs and increased lead-in times for delivery in the first quarter of 2021. Customer enquiries are also up by their fastest rate in over a decade, as revealed by the FMB’s latest state of trade survey.
Despite the good news, the FMB reminds the industry that this can create opportunities for cowboy builders to take advantage of the situation by offering lower prices. Brian Berry, chief executive of the FMB, warned that the rise in materials prices could mean a decline in standards, as ‘quality builders are at risk of being undercut by unscrupulous traders offering lower quotes to homeowners.’
The survey found that enquiries, workloads and employment all grew between January and March 2021, but that supply chain pressures due to the disruption caused by the pandemic are ongoing, causing delays. Activity has, however, grown in all sectors, with strongest performance in repair, maintenance and improvement.
At The TP Group, we’re committed to always delivering the best quality and have been growing our team to accommodate increased demand. To find out how we can help you, contact us today.