The fastest rise in construction activity since 1997 risks being undermined by price increases and a shortage of building materials, warns the Federation of Master Builders (FMB), in response to today’s Construction PMI data.
Brian Berry, Chief Executive of the FMB said: “The building materials shortage is disproportionately affecting small builders and threatening their recovery from the pandemic despite strong growth in the construction sector. The materials shortage is proving a serious detriment to both businesses throughout the supply chain and consumers. As the country reopens for business, it’s imperative that building firms have better access to the materials they need to build.”
Berry concluded: “It’s very encouraging that activity in the construction sector is increasing at its fastest rate in over twenty years, but given that confidence is rapidly dropping away, the lack of materials needs addressing before jobs and business continuity start to be compromised. Small firms form over 90% of the construction industry, and they are experiencing the most difficulties as a result of these shortages.”