The latest sales figures from the Builders Merchants Building Index (BMBI) – a brand of the Builders Merchant Federation (BMF) – have revealed a 2.8% increase in Q3 2015 compared to the same quarter in 2014, and are up 1.7% on Q2 2015. Total sales for Q3 2015 were £1.38bn (ex-VAT).
Some of the smallest sectors proved to be the strongest performers: Plumbing, Heating & Electrical, up 10.4%, Workwear & Safetywear, up 9.6% and Services up 7.4%. In contrast, Renewables & Water Management was down -16.7%, with BMF Managing Director John Newcomb citing the Government’s scrapping of the Zero Carbon Standard as a possible cause.
On the whole, sales dipped in August but bounced back in September by 9.7%. However, when taking into account two fewer trading days in August, average sales value per trading day in September was £21.22m, -0.2% lower than August.
Additional Insight from GfK paints a positive picture for Builders’ Merchants. Although business confidence is falling, consumer confidence is at its highest since 2000, as homeowners are showing a greater intention to build and improve their homes, and property transactions return to pre-recession levels.
In addition to this, Chancellor George Osborne has announced the “biggest housebuilding programme since the 1970s.”
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