Construction's Recovery And The Ukraine War


The recovery in construction output risks being undermined by the invasion of Ukraine and the impact this is having on the supply of materials and rising costs, says the FMB.

Output is at its highest level since September 2019. The Federation of Master Builders made the response to the publication of the Office for National Statistics' most recent construction output data.


 “Construction output is now at its highest level since September 2019, which is very positive news following an extremely difficult two years for everyone. The impact of the Russian invasion of Ukraine is likely to exacerbate the current challenges around the cost and procurement of building materials.”

– Brian Berry 

Chief executive, Federation of Master Builders



Already rising costs

Berry says oil, steel, aluminium, timber and copper set to be some of the worst affected materials. He also added: “Interestingly, repair, maintenance and improvement projects were responsible for much of the increased output in January.

“At a time when costs are surging, the situation puts builders in the unenviable position of having to raise costs for a customer base that is tightening its belts.”

To counter this, the FMB is advocating that the government bring forward policy interventions at the upcoming Spring Statement that can ease the effects of this increase.

“In particular, there is a growing need for a National Retrofit Strategy and a cut in VAT on all energy efficient home improvements,” said Berry. “These policies would provide an economic boost for local builders, reduce consumers’ vulnerability to energy shocks and further the UK on its journey to net zero.”

Picture: #FenestrationForUkraine

Article written by Cathryn Ellis
17th March 2022


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