NEWSROUND UK construction decline slows up
The downturn in the UK construction sector showed signs of easing in May, according to the latest S&P Global UK Construction Purchasing Managers’ Index (PMI). Output and new orders both fell at the slowest pace since January, while growth projections for the year ahead improved again. Employment remained weak, with job shedding accelerating to its fastest since August 2020. The headline Index posted 47.9 in May, up from 46.6 in April, to signal the slowest reduction in
Civil engineering also decreased at a solid pace in May (45.9), which extended the current period of contraction to five months. Meanwhile, commercial work (49.5) fell only marginally and the rate of decline was the slowest since January.
output volumes since January. House building was the weakest-performing segment in May (45.1), and, in residential work, the downturn accelerated since April amid ongoing reports of subdued demand conditions.
Total new work received by UK construction companies decreased to the least marked extent for four months in May, although employment numbers fell at the fastest pace for nearly five years. Purchasing activity
Tippers shows off branch to local Lichfield MP a successful business is far harder
Dave Robertson MP for Lichfield visited Tippers Builders Merchant, a well-known and long- established business in the town, to see how it helps constituents to build new homes and improve existing properties.
The visit was another arranged by the Builders Merchants Federation as part of its industry and parliament programme to show MPs the role of merchants
in delivering for their customers and communities.
Touring the branch, he was shown examples of the everyday trade essentials and products available to Tippers’ customers in Staffordshire and elsewhere. Joe Tipper, joint managing director, remarked: “We were happy to welcome Dave today and show him how Tippers has evolved since we began in 1916. Running
Lords opens new branch and buys CMO Group
Builders merchant group Lords delivered a ‘resilient’ 2025 performance, posting year-end revenues of £436.7m (2023: £462.6m).
Like-for-like revenue in the merchanting division was 3.6% lower than in 2023; recovering strongly in the second half with growth of 2.3% against 2024. Plumbing and Heating revenue fell 10.2%, balanced out by strong growth in renewable products, up 99% to £5.5m.
Shanker Patel, Chief Executive Officer of Lords, said: “Whilst the strength and timing of the anticipated recovery in the UK construction market remains uncertain, the medium-term market drivers are positive. A
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strong start to FY25 gives the Board confidence of delivering an improved financial performance.” l A new branch housing Lords Builders Merchants and the group’s specialist roofing merchant Advance Roofing Supplies has officially opened in Bicester. It is located on Lords Farm, Lords Lane, the site formerly occupied by Blanchford Building Supplies. l Lords has bought the trade and assets of online building materials supplier, CMO Group Limited following a CMO pre-pack administration process. Patel says that it will allow the Lords group to “to blend our traditional merchanting strengths with cutting-edge digital capabilities.”
now than it was back when Tippers started. The burden of regulation and taxation on today’s owners makes it more difficult and time- consuming to be a financially stable business, offering good jobs and investing in the communities in which we operate”.
Robertson said: “Tippers is a fantastic family-owned business that has been a cornerstone of our
area for nearly 110 years. It was great to visit their headquarters and see the wonderful work that Joe, Bill and the rest of the team are doing, both in Lichfield and across the West Midlands.
Knauf Insulation to build new factory in North Wales
Insulation manufacturer Knauf Insulation is to build its new UK rock mineral insulation manufacturing plant in Shotton, Clwyd, North Wales.
Located less than two miles from the company’s existing Queensferry plant, the facility will be built on land formerly occupied by Tata Steel’s steelworks in Deeside. The investment of around €200m will utilise UK-first, cutting-edge, submerged arc furnace electric melting technology to produce low embodied carbon insulation, with a capacity of over 100,000 tonnes of insulation a year.
Subject to planning and environmental considerations,
construction is scheduled to begin in 2026, with production anticipated to start by the end of 2027. Neil
Hargreaves, managing director of Knauf Insulation Northern Europe, commented: “One year on from our original announcement, today is a significant milestone not just for Knauf Insulation, but for the local communities of Deeside, and the wider UK construction sector.”
www.buildersmerchantsjournal.net June 2025
reduced in response to lower workloads, which resulted in fewer pressures on supplier capacity and a subsequent improvement in delivery times during May, although prices continued to rise. Business expectations for the year ahead edged up to the highest since December 2024. Around 39% of the survey panel forecast a rise in output levels, while 16% predict a decline. Positive projections were attributed to hopes of a turnaround in housing market conditions, greater infrastructure work, and the impact of lower borrowing costs on client demand.
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