UK market view: Q1 2022

In our first Market View of the year, and with the majority of data for 2021 now available, we have come to the conclusion that tender prices rose 7.5% last year.  

This decision is based not only on Government published statistics but also on information from the Mace Construction supply chain. Unsurprisingly, having surveyed a wide variety of subcontractors covering the majority of packages involved in a typical building, there was a diverse set of responses.  

An important caveat to our tender price figures is that they are an average and the costs for different projects will inflate at different rates. More than ever this caveat was appropriate last year, and the spread of the change in tender prices from our supply chain reflects this. From a handful of packages where there was no increase to others where the prices of particular components spiked more than 40%, the range was extreme. However, overall, we believe an average increase of 7.5% is appropriate.  

We provide more detail about what happened last year – focusing on materials, labour costs and output – in this report. We also discuss what else this year might hold, and take a slightly more long-term view, looking at some of the issues the industry needs to be aware of as we move towards another general election and the mid-point of the decade. 

Download the report to read more.