Building Material Costs & Trends 2023

Despite the ease of sourcing materials and expected decrease in prices, builders and tradesmen in 2023 still consider inflation and access to labour, as a potential risk to their profitability.

After the sharp rise in the price of building materials in 2022, prices appear to have now stabilised across many categories including, brick, block, timber and roof tile stocks

The latest Wholesale Price Index for Building and Construction Materials reveal that material costs fell by 1.3% between November and December, down 5.9% from July, when prices peaked.

While inflation is cooling, it does remain higher than normal and is expected to fluctuate for the foreseeable future, hampered by high input costs and continued supply chain issues.

Onlinetradesmen professional trades have reported continued inflationary pressures in the first half of 2023 with many increasing their prices, while rises in interest rates and labour shortages continue to plague the sector.

These challenges come as no surprise to many Onlinetradesmen trade pros who have seen firsthand the effects of high demand for home renovation-improvement projects on the service, amid labour and construction material shortages.

In addition to inflation, the rise in interest rates across all major lenders in recent months is also starting to take effect.

While households are far less exposed than before the financial crash, rising borrowing costs are already slowing house-building activity and would likely threaten renovation projects in the foreseeable future.

“With many homeowners already tightening their belts due to a rise in energy bills and the added cost-of-living pressures, consumers have even less incentive to consider home renovations.” Federation of Master Builders (FMB)

Cost of Insulation 

Insulation material costs have remained steady. Some fluidity is expected in the short term, driven by raw material prices, production costs, and the consequence of increased energy and transportation costs.

The average price of insulation per m2 = €18

Cost of Board Materials

The price has roughly reduced by 15% since last reported in July 2022. It is expected that prices should remain stable, but there is always the risk of price increases due to fluctuations in rising production and transportation costs.  

The average price of board per m2 = €14.5

Cost of Block 

There has been little fluctuation in the price of Block since July 2022, with cautious optimism that prices may remain steady in 2023, but rising energy costs may prevent that from happening.  

The average price of block per m2 = €20

Cost of Timber

As of February 2023, Timber prices have fallen by approximately 18% since last reported in July 2022.

There is some optimism that timber prices will remain stable through the rest of 2023, but there is still the possibility of price increases due to energy and transportation costs.

The average price of timber per m3 = €625

Cost of Plasterboard

There has been a slight increase since the beginning of 2023, with further price increases in the coming months due to rising fuel and energy costs, raw material shortages, production, and transportation.

The average price of plasterboard per m2 = €6

Cost of Cement  

Cement costs have remained steady. Rising energy and transportation costs are expected to drive prices up in 2023.  

The average price of cement per 25kg = €7

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For a quick chat about how we can help you save money and other business benefits, schedule a call with our team.

Source: Wholesale Price Index (Excl VAT) for Building and Construction Materials/ My Building Supplies Ireland

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