British Gypsum Comment: Q2 2024
From a slower start to the year in Q1, the market experienced a marginally more challenging Q2 than anticipated with slightly softer volumes across the principal sectors. With the quarter dominated by the General Election, the new Labour government’s plans to meet the housing shortage by building 1.5 million homes in five years landed positively, with a bounce in housing shares after their win at the ballot box.
It’s hoped the news will bolster confidence across the supply chain, from consumer to manufacturer, but increasing build programs and planning reform will take time, and any near-term uplift is unlikely to be experienced in 2024. The Federation of Master Builders, among others has raised concerns about the impact the skills shortage will have on housing plans, without a long-term training and building skills program to ensure an effective, skilled workforce exists.
We all have a role to play in this, to equip both those starting their career in the industry and established professionals with the essential skills needed for current and future roles.
Across the UK, we continue to support college students and apprentices to ensure they have access to high-quality resources, technical support and tutor training. We aim to do this by sharing our collective know-how, providing market leading training services through our Build Better Academies, and encouraging students to become the next generation of plasterers through our pioneering Thistle Partnership.
Fulfilling the needs of the Future Homes Standard and meeting the push for net zero will continue to dominate the construction industry, as we wait for the new Government to confirm its net zero strategy, and how that may impact the retrofit sector.
British Gypsum continues to gain momentum on our sustainability roadmap, with the launch of our lower embodied carbon metal profiles. Branded Gypframe Carbon Low, the new metal profiles are made from steel manufactured using an electric arc furnace rather than a blast furnace.
We have also partnered with The Pallet LOOP, distributing our bagged plaster products nationwide on the distinctive green coloured reusable pallets. From July, our plasterboard deliveries began to transition too. This marks a significant milestone, and we encourage customers and other manufacturers to join our drive to reduce pallet waste in UK construction.