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Construction ‘crisis’ warning as supply chain disruption continues

Demand for building materials is ‘higher than ever’ but a disruption in supply chains and rise in the price of materials could lead to a construction crisis.

That’s according to Andrew Huxley, the managing director of concrete block manufacturer Besblock, who believes the industry needs to find a solution and take action before it’s too late.

His comments come after a survey found that construction input prices rose at a near-record last month.

“The demand for construction projects is holding up well and our various teams are busier than ever but prices of materials are causing problems,” Huxley says. “We’re having to deal with transport delays as well. It’s obviously great for us as a business and means our teams are constantly busy but we are noticing a serious supply-and-demand issue among the big developers and we’re doing everything we can to even this out. There’s a lot going on in the industry and we need someone to take action really before it becomes a crisis.”

The Telford-based firm makes millions of concrete blocks from its two-factory site in Halesfield. Huxley says: “We’ve never seen demand like this from the construction sector. Every client wants more blocks, more often. In many respects it’s the perfect storm. You have an incredibly buoyant housing market plus people appear to have more money in their pockets post lockdown. This coupled with huge capital projects all around the country consuming vast quantities of raw materials.”

About Fiona Russell-Horne

Fiona Russell-Horne
Group Managing Editor across the BMJ portfolio.

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