There are plenty of commentators starting to suggest that the much-discussed recovery in the housing market could be short lived. However, my own view is that 2015 will see a sustained growth in new housebuilding with the resultant increase in demand for merchants’ stocks.
In March of this year the Office for National Statistics (ONS) announced that the rate of inflation faced by households in the UK had fallen to 1.6 per cent in the year leading up to March 2014.
Rewind back to January 2013 and there was an air of cautious optimism surrounding the industry, but no one was expecting anything dramatic. As a company we forecast a modest 3 per cent increase in new housing starts. Come March, this cautious optimism began to wane after the country had been besieged with bad weather; the year ahead was not looking promising. Our sales in the first quarter of 2013 were lower than 2012.