FORT Fencing
Agricultural & Equine Fencing
FORT December Newsletter - 2023
16 December 2023
Well here we are in December and another year is drawing to a close. It’s been another very busy year for FORT (we’ll do our annual round-up and look at 2023 in the New Year) and we’re all looking forward to having a nice break over the Christmas period.
Needless to say that everyone here at FORT wishes you all a very Merry Christmas and a Happy New Year, and thank you for all of your help and support this year.
As you know, we always show a selection of indices to track commodities and items that affect our sector, we’re starting to wonder if we should include rainfall; maybe it’s just normal, but it seems like we’re seeing more rain than we’ve ever seen before?
It must have an impact on building, but despite the rain there still seems to be a surprising amount of positive activity. That’s also despite the doom and gloom on the news around general economic activity. Inevitably increased interest rates have severely affected new house building and many parts of the property market, but the general building sector seems to be moving along.
December is always a tricky month because a lot depends on whether the projects are on time, early or running late. If it’s the latter, then these last few days can be stressful with tradespeople finishing for Christmas and clients wanting their homes, ready for the big day!
Our customers continue to report reasonable work levels and anecdotally there seems to be a lot of major ground working going on, which all bodes well for 2024.
We hope that this year has been a decent one for you and your families. We’re extremely grateful for all the support that you’ve given us throughout 2023 and look forward to seeing you after the Christmas break, revitalised and ready to crack on!
General Availability & Price Update
Our roundup of key indicators is shown below:
Currency
The £ is still holding up quite well and a soil prices have also fallen, fuel costs have lowered again, helping in all manner of ways to save money. The Euro has also weakened a little, while the Swedish Krona remains at low levels and these also help to shave some costs for the UK.
Containers
China’s economy has slowed and global demand is down, all of which heavily reduces demand for containers but rates have finally started to rise, albeit only slightly. While they’re still probably at uneconomic levels, it seems to show that there’s slightly less instability on global demand, although this is the pre-Christmas phase, so we’ll have to see where these rates are in February. Ultimately for the building products sector, this all helps to keep costs down.
Steel Bar
As with containers, steel rebar prices appear to have come off their lows and are starting to rise a little. It’s another indicator of general construction activity and seems to be showing improved demand.
Timber
This remains as one of the weakest commodities at present, even though huge volumes are missing inside Western countries, as Russian/Belarusian timber is banned. We regularly hear reports of shortages in some specifications, but still nothing seems to change the overall market. Ultimately the current prices are unsustainable and will begin to rise … we just don’t know when.
Inflation
The UK government promise to halve inflation has been achieved and the high of around13% is now down to 6.1% and probably still falling. Base lending rates remain at 5.25% but mortgage bonds are showing offers at around 4.95%, so we appear to be heading for lower rates at some point in 2024 and lower inflation as well.
In summary we appear to have a large range of indices showing stability or slightly improving positions. Employment remains high. Minimum wage rates are due to increase in April 2024 and there’s an election looming. This usually gives a time where some loosening of fiscal spending happens.
December Special Offer
Our December special offer is perfect for those looking to renew their tool collection, buy the latest and greatest or for those looking to gift their friends and family with the equipment they need for 2024! From brands like Bahco, Dewalt & Faitfull - be sure that FORT have exactly what you're looking for. Don't forget, our website has our full range of stock and orders can be placed online ready for January. You can also log in to your account and use the handy features available to you, such as the My Quote Builder or My File Manager.
As always, please do not assume stock availability - check with the sales office!
Our reputation relies on word of mouth and testimonials from our valued customers, and as such we'd love for you to share reviews of your experiences with us on either Google, Facebookor TrustPilotif you have the time.
Thank you very much for your ongoing support of FORT!
We hope that you have a fantastic Christmas and a Happy New Year, we look forward to welcoming you back to FORT in 2024.
Best regards,
Matt, Tim & Keith
The Directors