Construction Industry Update – November 2021


Material cost increases hit forty-year high

The Materials Cost Index conducted by the Building Cost Information Service shows price rises hitting a forty-year high.

Analysts said that between January and September 2021 the greatest increases were seen. This rise mainly saw increases to steel and timber, with rises set to continue into next year.

James Fiske, Director of BCIS, said: “The cost of materials in constructing a three-bedroom semi-detached house has increased by fourteen percent or approximately £7,300 between January and September 2021. It is expected to grow by a further one percent of £600 by the end of this year.”


Green schemes to be the focus of infrastructure spending

Advisors at the National Infrastructure Commission have announced the sectors that will “sit at the heart” of its next major assessment of the country’s investment priorities.

Key areas will include identifying the infrastructure needed for hydrogen and carbon capture and storage to decarbonise parts of the economy, improving recycling rates and surface transports within and between cities and towns.

All sectors will need to take the opportunities offered by new digital technologies to cut costs, enhance service quality and improve resilience.


Product testing mess to intensify site materials shortages

Construction work on more than 150,000 homes could be delayed unless the government wakes up to a looming crisis in construction product testing.

The industry is due to switch to the UK Conformity Assessed (CA Mark) on 1st January 2023 when the old European CE Mark for product compliance is phased out.

Construction products will have to be tested in UK centres – but a lack of facilities is sparking a capacity crisis.


Winner imminent for £7bn schools framework

The Department for Education is set to confirm contractors who have won places on its £7bn school building programme over the next four years.

The tender race started back in January to become part of the latest panel of preferred contractors to refresh the current list of 33 incumbents.

Firms have been bidding for 22 lots. For high-value projects over £12m, England is being split again into north and south regional panels of building contractors.





Construction materials cost increases hit 40-year high | Construction Enquirer News

Green schemes to be focus of infrastructure spending | Construction Enquirer News

Product Testing Mess To Intensify Site Materials Shortages (

Winners imminent for £7bn schools framework | Construction Enquirer News

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