Shock as steel prices rise again industry left reeling

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During the last twelve months structural steel has seen massive price increases as reported by nationaltradesmen.co.uk back in January, we have now learnt that British Steel has hiked the price of structural steel for the sixth time since July 2020.

This means that the price of steel has risen by £260 a tonne since last July this rise will come with immediate effect, the industry is still reeling from the rises in prices of all materials with timber also rising by 30% to 40 % and mass shortages of materials  and lead times increasing because of the pandemic and Brexit.

The speed of the rise in the price of steel has shocked many firms who are unable to pass on the uplift in cost many saying the rise is unprecedented the cost rise has been blamed on sharp rises on quotas, scrap availability and material costs.

Rebar prices are also being pushed through the roof in the concrete frame sector.

Recent spate of increases


£/ tonne rise: July +£30; August +£30; Nov +£40, Dec +£80; Jan +£50; March +£30

 

Many in the industry are also complaining that lead times have also increased from 6 to 12 weeks due to demand and firms ability to deliver the materials on time due to current restrictions and external market forces which are uncontrollable.

One firm told nationaltradesmen.co.uk that; “These price rises are crippling for use because clients expect us to deliver the project to the original budget but we cannot take these rises in steel prices they must be passed on to the customer we may have to walk away from some contacts because we will simply lose money”.