FORT September Newsletter - 2023
10 September 2023
As we write, the UK is going through some wild and wet weather, after some of the hottest September days on record; the weather’s turned a little bit crazy and that inevitably affects construction. Combined with a change back to more traditional summer holidays, where people have gone abroad (West Country bookings down 20% on last year), it’s no surprise to find that things have been generally quieter across the industry.
Thankfully FORT has remained busy and some of that is down to our diversification. The aim here is to gradually build a business that can provide you with everything that you want, to build whatever you want. Here’s just a few things you may not realise we do:
Kitchens & Bathrooms – Come & see our showroom displays!
Doors, Windows, Roof Lanterns – Aluminium, UPVC & Timber
Trex Decking –a very high quality, long lasting decking solution
Tiling – Floors & Walls
The latest news from the Bank of England seems to be saying that interest rates may have already peaked - inflation seems to be falling (at long last) and the credit squeeze is having an effect. What’s more, economic growth has been a little better than first reported. House prices have fallen by around 5% in the last year and larger housing developments are finding it hard going to get sales through. On a more positive note there has been an easing of planning restrictions around water run off and that could speed up decision making.
All of this means that general material pricing has become more competitive and of course availability is now an increasingly distant memory.
General Availability & Price Update
Our roundup of key indicators is shown below:
Currency - The £ has fallen back a little against the $, which signals that investors expect UK interest rates to not increase. Against the Euro, things have held steady. The £ v Skr (Sweden) as previously mentioned, has remained steady, showing a lot of weakness in the Krona. With large volumes of timber coming from Sweden this makes their products cheaper, putting pressure generally on many timber items.
Containers - Chinese economic activity has weakened and with global demand slowing it all means less goods are being shipped, which has affected container rates. This has helped to ease the cost of imports, especially heavier items (sandstone and plywood for example).
Steel Bar - A brief spike in price caused by the terrible earthquakes in and around Turkey has fallen back and now prices have fallen again in the last month.
Timber - While this is a US index, it shows the trend. Timber has returned to somewhere close to 2020 (pre-pandemic) levels and is currently below those levels. There’s an underlying need for rates to rise, but at the moment lack of demand is holding that back. In Europe, operational costs and the shortage of logs (due to sanctions on Russian and Belarus) are starting to kick in and we anticipate small increases as the year progresses.
Inflation - Inflation is still very high, but there’s been another significant drop to 9% (10.5% last month, 14% at the peak) This has taken longer than anticipated. Overall energy costs have fallen (although oil has risen) and increased interest rates have taken money out of the system, so it looks as if the UK will see far lower levels of inflation as 2023 progresses.
Airbnb Cottage Renovation
Another fantastic project completed by a FORT customer! What was a dated cottage has now become a cosy & modern Airbnb home, kitted out with all-new windows & doors supplied by FORT. The aim of our showroom is to display possible window designs although from our yard to the site, it’s great to see the materials installed and in good use.
Aside from windows and doors, we supplied a range of building & landscaping materials for this project, although we can’t take credit for the flower pots! Get in touch with the team today to discuss your plans on 01488 505 800.
#IneverFORTtheydidthat
FORT Summer Staff Party
We took the team out for a well-deserved adventure day, clay pigeon shooting! Luckily though, no wounded staff members, just some sore heads the following morning. A very successful day of clay pigeon shooting at Pennsport Shooting School, followed by drinks & a BBQ to end the hot day.
Some more experienced than others, but the best shooter was Nick, one of our great HGV drivers, and the worst shot was the Sales team generally as Craig, Ash and Chelsea all struggled to hit very much!
Whilst the team are hard at work from Monday - Friday it’s great to get everyone out in the sun and enjoying a day out catching the rays, shooting & enjoying a nice burger & beer.
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, Facebook or TrustPilot if you have the time.
Thank you very much for your ongoing support of FORT!
Best regards,
Matt, Tim & Keith
The Directors