January and February were a wash out with prolonged heavy rain slowing site work in an already depressed market. However, in March the rain eased, sunshine appeared and volumes started to flow…. well sort of. Overall Q1 was more than 10% behind Q1 2025. While March’s run rate was maintained through April, at the point of writing, the 2026 re-forecast will be excellent if we achieve 2024 volumes.

The first quarter has been busy for the government, with the US-Iran war and the inflationary cost uplifts to businesses. While interest rates were held at 3.7% the Bank of England warned the UK needs to brace for rate hikes later this year. Higher inflation is unavoidable. Despite this pause in interest rate hikes, mortgage rates forecasts are dependent on geopolitics today.

On the 19^thMarch 2026 the Government announced the long-awaited UK Steel Strategy, which aims to make the UK more self-sufficient. Therefore, from 1^st July 2026 import quotas have been reduced by between 60 – 90%, with any excess facing a 50% tariff. The immediate impact is that steel prices are rising.  Further increases are expected with the implementation of the UK Carbon Border Adjustment Mechanism from 1^st Jan 2027. CBAM is aimed at supporting low carbon manufacturing and further protecting the UK Steel industry.  Our energy costs, even with government support still outstrip our European counterparts, meaning these costs will be passed into the market until such time as the Government delivers on its ‘clean energy superpower mission’. The UK Steel Strategy is a game changer.

At last, the 2025 Future Homes Standard has been announced, and thankfully Keystone’s Hi-therm lintel, 15 years ahead of its time, has you covered. Fabric First, remains the most critical area before renewables added. Overall construction costs are expected to rise by up to £5,000 depending on house type. In theory this will be offset by lower energy bills. House builders, and merchants to a degree, will have to learn how to sell to consumers, and SME’s must learn how to maximise the return on investment from energy saving products such as lintels in the modern house to minimise energy bills.

Never a dull day.