NEWS EXTRA
THOMAS CALLS FOR CERTAINTY AS BUILDING SECTOR FACES RISING COSTS
Greater certainty, lower energy costs and reduced regulation are needed to support investment and growth across the building materials supply chain, according to Bradley Thomas MP.
THE BMF MEMBERS Day Conference heard from the Shadow Business Secretary, Bradley Thomas MP, who, thanks to Prime Minister Andy Burnham’s Cabinet reshuffle, was barely a week into his new job. Thomas drew on his previous experience working for a BMF member company – Baxi parent group BDR Therma - to outline the pressures facing builders’ merchants, manufacturers and other businesses across the sector. Thomas said he understood many of the pressures facing delegates, and that uncertainty was a major barrier to investment, expansion and job creation, citing rising inflation, employment costs, energy prices and borrowing costs making it increasingly difficult for businesses to plan.
“Uncertainty is a real catalyst for business contraction,” he said, adding that businesses needed confidence to invest and workers needed security to maintain productivity.
Domestic resilience Thomas said government policy should enhance the viability of domestic businesses rather than threaten it. He also linked economic resilience to national security, arguing that geopolitical tensions and dependence on overseas energy supplies had made domestic resilience increasingly important. He highlighted energy costs and the pressures facing manufacturers and energy- intensive businesses, as well as the impact of rising fuel costs on merchants operating large transport fleets, and criticised the Government’s approach to energy policy, arguing for greater use of domestic energy resources, including North Sea oil and gas.
10
Thomas outlined Conservative proposals including increasing domestic oil and gas extraction, supporting nuclear power and small modular reactors, removing certain energy-related taxes and levies, and reducing VAT on energy bills. He said the UK should pursue a “balanced transition” towards lower- carbon energy while maintaining affordable and reliable supplies. Thomas also said he was concerned about the Government’s steel strategy and its potential impact on businesses that rely on steel as a raw material. He said: “Despite steel being a vital part of our economy and crucial for national security and resilience, the Government is actually pricing it out of existence.”
He also criticised rising employment costs and unnecessary regulation, arguing that businesses needed greater flexibility to employ and retain workers, particularly smaller and family-owned firms. The
“Government policy should enhance the viability of domestic businesses rather than threaten it.”
relationship between employers and employees was particularly important in labour-intensive sectors such as building supply, he added. “Workers become part of an extended family. Which means policy should be both pro- business and pro-worker.” Thomas linked the wider economic outlook to the housing market, arguing that high costs associated with moving home were contributing to stagnation.
He said he had recently moved house and had seen for himself how significant stamp duty costs could be.
Housing resilience Thomas argued that reducing the tax burden on primary residences would help stimulate housing transactions and, in turn, benefit businesses across the building supply chain. Conservative plans to abolish stamp duty on primary residences were intended to get the housing market moving and increase spending in sectors supporting house moves, he said. He said that businesses needed confidence that any investment they make would be rewarded, workers needed security and government policy needed to provide a stable environment for long-term planning.
“Certainty matters,” he told delegates. “It provides safety for workers, it provides trust in UK growth. It’s fundamental for business and operational resilience.” BMJ
www.buildersmerchantsjournal.net October 2024 October 2026
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80
