PHAM NEWS | MAY 2025 4 News Review


Plumbing businesses remain stable despite growing pessimism


The latest State of Trade report from SNIPEF reveals that demand for plumbing and heating professionals remains steady, despite growing pessimism towards the UK economy as businesses weigh up rising costs, policy uncertainty and skills shortages. The data suggest that stability


in trading conditions persist, but there are underlying concerns about future fi nancial prospects on the back of the underwhelming Spring Statement and ongoing global economic uncertainty. Confi dence has dipped slightly, with 44% of businesses feeling confi dent or very confi dent about the year ahead (a fall from 50% in Q4 and 54% in Q3). The report reveals that 47% of


plumbing and heating businesses now hold a pessimistic view of the UK economy, a significant increase in just six months, up from 19% in Q3 2024. This sharp rise refl ects growing concern over rising employer costs, persistent workforce shortages, rising material prices and the lack of a clear economic strategy from government. The Q1 2025 State of Trade report also highlights additional challenges influencing current sentiment across the profession, with only 28% of businesses expecting to increase staffi ng in the next six months and only 22% likely to recruit an apprentice. Despite the gloomy outlook


from a UK-wide economic perspective, the plumbing and heating profession showed resilience in terms of trading performance – marked by stable demand and opportunities. Some


A strategy paper for the UK heating industry


The Heating and Hotwater Industry Council (HHIC) has launched a new strategy paper: ‘Heating Up to Net Zero: Piecing together the Sustainable Future’, which focusses on how a collaborative approach across industry and government can help the country to achieve its net zero ambitions. The paper also highlights the importance of supporting and protecting consumers as they decarbonise their homes. The document sets out the policy


47% of businesses indicated that workloads for the next six months are in line with expectations. A further 30% reported stronger- than-expected forward bookings, while 22% anticipate reduced demand. This refl ected a strong, but slightly more cautious short- term outlook than in Q4. In terms of profi tability, 58% of business reported the same, or increased, profi t margins. However, 39% of businesses experienced a decline, an 11% rise from Q4.


Increasing uncertainty SNIPEF chief executive Fiona Hodgson comments: “Confi dence in the economy has taken a real hit. Our members are managing current workloads but are increasingly uncertain about what lies ahead. The Spring Statement failed to provide the reassurance or clarity needed to plan with confi dence. We urgently need an economic reset – one which places value on workforce development, ensures prompt and fair payment


CIPHE manifesto sets out key industry challenges


A new manifesto has been published by the Chartered Institute of Plumbing and Heating Engineering (CIPHE) – which puts education, sustainability, conservation and safeguarding at the heart of the Institute’s activities. The manifesto for 2025-2027


also provides an insight into how the CIPHE is supporting the plumbing and heating sector which plays a critical role in public health, safety, housing, living conditions, emerging tech and the government’s economic targets. The 26-page document tackles the immediate challenges and threats facing the industry, as well as proposed solutions on how to address them. As part of its ‘Education’


pillar, the CIPHE is prioritising apprenticeship access to improve enrolment and retention rates – as 45,000 new recruits will be needed every year until 2030


to fi ll the current skills gap. It is working alongside the Institute for Apprenticeships and Technical Education (IfATE) / Skills England to develop new Level 2 and 3 qualifi cations and a fi t for purpose apprenticeship – including funding for targeted training that supports the move to net zero and accreditation for those working in low-carbon technologies. The ‘Sustainable’ pillar will


see the CIPHE provide technical support to heating and plumbing professionals as they adapt to new regulations, ensuring that workers undertake mandatory CPD hours throughout their career. It will also provide advice to government on the need for additional funding in the social housing sector to tackle decarbonisation, improve living standards and alleviate the housing crisis. ‘Conservation’ also forms part of the manifesto, as the Institute


strives to increase mass awareness of energy and water-saving measures by engaging with the media, government departments and key influencers. The body says it will work with government to prioritise the issue and will be introducing a sustained campaign to change consumer attitudes towards water conservation and increase knowledge of water effi ciency labelling. Under the ‘Safeguarding’ banner,


the CIPHE is focused on protecting consumers at home and out in society. This involves a continued promotion of the ‘Love Your Local Lav’ campaign to protect funding for public toilets, whilst providing better education to warn the public about the dangers of poorly- installed heating and plumbing systems in the home, and the importance of using a competent and qualifi ed professional. Kevin Wellman, CEO of CIPHE,


across the supply chain, and unlocks opportunity for small fi rms to grow and invest.” “I commend our members for


weathering the current economic climate to remain profitable despite the financial pressures that are being felt across the construction sector. They have been resilient and highly adaptable; but resilience is not infi nite. If we’re to safeguard long- term strength across the plumbing and heating profession, we need joined-up action from all UK governments to reduce volatility, support business confidence and develop the workforce of the future.” The survey was conducted between 24 and 31 March 2025, with responses sought from more than 700 plumbing and heating member businesses and more than 50 affiliate and partner organisations of the Federation. To download the full report, use


the online reader link below: ◼ phamnews.co.uk/525/02


direction and recommendations which will need to be enacted if net zero is to become a reality, such as the need to re-skill the installer and how government incentives can help to drive consumer uptake of new and emerging heating technologies. It also addresses the need for new and updated regulatory measures.


Fabric fi rst The paper argues for a fabric fi rst approach to energy conservation, suggesting that relaxing the requirement for insulation when installing a heat pump could be a false economy. It also calls for an extension to the Boiler Upgrade Scheme to include hybrid systems and heat pump-ready hot water cylinders or integrated heat pump storage cylinders. The strategy paper was launched


at an event an event at the House of Commons, chaired by HHIC Director Stewart Clements and attended by members of HHIC, key stakeholders in the heating


industry and government representatives. The keynote speaker was Miatta


Fahnbulleh MP, Parliamentary Under-Secretary of State (Minister for Energy Consumers). She told attendees: “Decarbonising our housing stock is not going to be easy. It will take time. But I hope that it is clear that this national mission is already well underway, with government fully committed to working with you to unlock the benefi ts of this agenda. She added: “Warm and effi cient


homes powered by clean, renewable, British energy are within our grasp. And we look forward to continuing to work with you all as we seek to deliver on that energy promise we made to every household in Britain.” Also speaking at the event, Stewart Clements said: “It is important that all the different stakeholders involved – industry organisations, government, manufacturers, regulatory bodies, installers and local authorities – need to work together to ensure the UK achieves its goal in building a truly fair and sustainable future.” To download the strategy paper,


use the online reader link below: ◼ phamnews.co.uk/525/03


comments: “This manifesto outlines the key issues facing the industry, the crucial steps that the government and other key stakeholders should take, and how CIPHE will spearhead this change. “Many of the same challenges


we aimed to overcome with our last manifesto in 2022 remain at large today. The pandemic is still causing an impact on skills shortages; there is ongoing geopolitical turmoil with confl icts worldwide; and the cost of living is perpetuating fuel and water poverty. “The change in government has


created a time to refl ect on what the industry has achieved and how it can have a positive impact on the next parliament and beyond. We must use our expertise to be the driver of change across government regulation, shaping and reforming education and training, and equipping the industry to leverage new innovations and achieve new possibilities.” To download the CIPHE


manifesto, use the online reader link below: ◼ phamnews.co.uk/525/04


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