Smaller builders still upbeat despite economic headwinds

Aaron Morby 12 months ago IBMG
Share

Small and medium-sized builders are still optimistic about workloads despite inflation and wider cost of living pressures on household budgets.

A  survey by the Independent Builders Merchant Group (IBMG) of its customers revealed that almost one-fifth had ‘too much’ or ‘more than usual’ work in the pipeline

Even with a cost of living squeeze on domestic spending, 70% said demand had remained stable or increased and they had not felt the impact yet of tightening purse strings.

Martin Stables, CEO of IBMG said: “Bombarded with negative stories about the economy one would have expected that home owners to be wary about progressing new projects, however, it appears from this research that the majority of local builders are faring well, with demand remaining stable or increasing.”

Established just four years ago, IBMG has expanded rapidly by acquisition and now owns 173 merchant branches spanning five divisions; general builders merchants, plumbing, heating & bathrooms, electrical wholesale, roofing & timber.

The type of work its customers carry out ranked in importance as: refurbishment & maintenance, followed by extensions, then loft & garage conversions, with new builds and internal reconfigurations coming in at fourth place.

A third of those surveyed specially mentioned garage and loft conversions hinting at a trend to expanding living areas rather than moving home.

Surprisingly, when asked specifically about building work to improve energy efficiency, only 11% said they worked on delivering energy efficiency projects at the moment.

However, more than a third reported an increase in enquiries for this type of work  – such as demand for insulation work such as attic insulation, window replacement and enquires about renewable energy sources.

Stables said: “What we can take from these results is that people might be investing in their existing property rather than moving.

“Unsurprisingly, a third of our customers are reporting increased enquiries on energy efficient installations. Either way it appears that local builders are kept busy and fully employed.”

Stable said: “While rising interest rates could dampen ambitions of the large construction and building contractors, this survey suggests that local builders working on local projects appear to be insulated from the current economic crisis.

“Demand remains fairly constant and it appears that they have their cash flow situation in order too with the vast majority reporting timely payments.

“Contrary to many media reports and fears among workers about whether they would be unable to weather the storm this IBMG survey reveals cautious optimism among the small and medium-sized builder throughout the UK. “

 

 

 

Latest suppliers & buyers news

Conquip launches industry-leading after-sales service

Products and services supplier offers big benefits for contractors

Wernick Group celebrates 90th anniversary

Major milestone for portable and modular buildings specialist
2 weeks ago
Wernick Group Limited

Quest boosts fleet after ‘try-before-you-buy’ offer

Waste management specialist sings praises of dirty water recycling tanker

AGD takes delivery of powerful new piling rig

Compact Comacchio machine packs a punch
3 weeks ago
AGD Equipment Ltd

Deanestor lands Robertson school deal

Latest win for fit out specialist
4 weeks ago
Deanestor

Statom buys another £5.4m of kit from PERI

Concrete specialist seals latest deal with formwork and scaffolding firm
1 month ago
PERI Ltd

New partnership promotes plant crossing safety

SRL Traffic Systems and CLD Physical Security Systems establish hire partnership
1 month ago
SRL Traffic Systems

Go Smart skills card checking to end soon

CSCS scheme leaders urge industry to prepare for new verification system
1 month ago

Core Highways brings all divisions together

Rebranding sees £120m turnover specialist operate as one business
2 months ago

Construction firms co-operate on green wall

Willmott Dixon, FACE Brickwork, Grayson, Speedy Hire and Cemfree showcase carbon cutting methods
2 months ago
Cemfree

Floorplan celebrates 25 years of success

Raised access flooring specialist benefits from exclusive partnership with Italian supplier JVP
2 months ago
Floorplan Systems Ltd

Deanestor lands £3m deal at Passivhaus school

Fitout specialist lands latest contract from Robertson
3 months ago
Deanestor

Offsite Solutions lands £2.4m shower pod deal

Major contract win on McAleer & Rushe student tower
3 months ago
Offsite Solutions

J3 arranges insurance deal on £55m McGoff resi scheme

Independent insurance and finance advisory continues to win work in new build market
4 months ago

Revamp for CSCS skills card website

Overhaul makes it easier to get the right card
4 months ago

IBMG strengthens senior management team

Peter Cudd becomes CCO and Allun Pittingale COO at builders' merchant's chain
4 months ago
IBMG

Vivalda offers “dust free” manufacturing

Cladding specialist offers effective off site cutting service
4 months ago
Vivalda Group plc

AFI Rentals launches carbon offsetting scheme

Customers can offset 100%+ of environmental impact of machines delivery
4 months ago
AFI-Rentals

Scaffold firms urged to claim training cash

NASC has an extra £180,000 for member firms
5 months ago
NASC

Materials giant Heidelberg drops Hanson brand

Hanson UK renamed Heidelberg Materials
5 months ago
Heidelberg Materials

MCL-PM bounces back from Ilke Homes setback

Modular specialist "stronger than ever" despite sector failures
5 months ago

Pod specialist delivers in Canary Wharf

Latest deal sees Offsite Solutions deliver 356 shower pods
5 months ago
Offsite Solutions

Fit-out specialist hits record turnover

Deanestor back in the black
5 months ago
Deanestor

FP McCann opens new concrete roof tile factory

New plant can produce 60m roof tiles a year
5 months ago
FP McCann

New CEO at Etag

Former Saint Gobain MD joins fixings specialist

Alternative Heat lands £35m biomass deal

Contract in Scottish Highlands is one of largest awarded in UK
6 months ago
Alternative Heat Ltd.

McLaren and Lyons & Annoot use Cemfree at Excel

McLaren cuts carbon emissions on ExCeL London project using cement free mortar, Cemfree
6 months ago
Cemfree

Straightline boosts management team

Graham Drummond joins leading provider of commissioning management services
6 months ago

Collett unveils new heavy lift warehouse

Logistics specialist continues expanding
7 months ago
Collett & Sons Ltd

Deanestor lands another deal with Morrison

Latest school contract is 16th package for fitout specialist
7 months ago
Deanestor

Firm Quick Find

Join Now

Sorry, there was a problem with the details you have entered. Please review the highlighted fields.

Sorry, this email address has already been registered.

Top searches

Contractor services