Update on construction material price rises
A 2023 update on construction material price increases, since our piece on the repercussions of this inflation for charities’ insurance.
Construction material costs are still high, though steadying since we last drew attention to the repercussions of this inflation for charities owning commercial property on their insurance. The chart below illustrates the extent of the overall average increase in construction material prices, just above 15%. Notably, the cost of bricks, for instance, has experienced inflation of up to 20%.
Unfortunately, the underlying factors, as mentioned in claims inflation guide, are not going to go away quickly, but there is an expectation that the material price increases will die down (Buildings Cost Information Service).