The latest Builders Merchants Building Index shows that ten of the 12 product categories sold less by value.
Figures released in the latest Builders Merchants Building Index confirm the challenges facing the builders’ merchants sector, showing a further decline in sales performance in the final quarter of the year, following the downward trend seen in the third quarter.
The Q4 downturn marks the end of a disappointing second half of the year, erasing much of the initial growth seen in the first two quarters of 2025. However, 2025 still concluded with a value growth of +0.5%, a testament to the dedication and hard work by both merchants and tradespeople.
Quarter 4 2025 v Quarter 4 2024
Looking at the quarter as a whole, year-on-year total value sales in Q4 2025 were lower than the same period in 2024. With no difference in trading days between the two periods, Total Builders Merchants value sales in Q4 2025 were -1.2% lower than Q4 2024. Volume sales were down by -2.9%, but prices increased by +1.8%.
Value sales increased in seven of 12 product categories, led by one of the smallest categories, Miscellaneous (+6.4%). Timber & Joinery Products, the second largest category, increased by +1.8%, outperforming the total market, but the largest category, Heavy Building Materials, at -3.9%, recorded the weakest performance.
Quarter 4 2025 v Quarter 3 2025
Value sales in Q4 2025 were weaker than in the third quarter of the year. Like-for-like value sales (adjusted to remove the impact of trading days) were -9.0% lower than in the previous quarter. Like-for-like volume sales were down by -13.1%.
With four fewer trading days in Q4 2025, unadjusted value sales for the Total Builders Merchants Market were -14.6% lower than in Q3 2025. Volume sales declined by -18.5%, but prices rose by +4.8%.
Ten of the 12 product categories sold less by value, with Workwear & Safetywear (+6.0%) and Plumbing, Heating & Electrical (+4.7%) the only categories to sell more. Timber & Joinery Products (-13.3%) performed better than Total Builders Merchants, but the largest category, Heavy Building Materials, at -16.2%, was one of the poorest performers.
Full year vs last year
January-December 2025 v January-December 2024
With one less trading day in 2025, Total Builders Merchants unadjusted value sales for the full year were +0.5% higher in 2024, with volume increasing by +1.5% and average price down by -1.0%.
The largest category, Heavy Building Materials, ended the full year with a value decline of -0.5%. Volume was up by +1.2%, but the average price was down by -1.7%. The main contributors to these declines were blocks, insulation, plasterboard, and roofing products. Aggregates, bricks, and cement were key areas of growth.
However, Renewables & Water Management was the best performing category for the year, with value sales increasing by +5.7%. Plumbing, Heating & Electrical also had a positive year, up by +1.8%, with boilers, tanks, heating equipment, and heat pumps being areas that contributed to growth in 2025.
Emile van der Ryst, Key Account Manager – Trade & DIY at NiQ GfK, said: “Although 2025 recorded a value growth of 0.5%, the shift in the quarterly value growth trend compared to 2024 is a genuine concern. Both Q1 and Q2 2025 were positive at +0.7% and +2.6% respectively. However, there have now been two consecutive quarters of decline, with Q3 down by -0.3% and Q4 decreasing further to -1.2%. 2026 has continued on this challenging path, not helped by the weather in January and February. There is hope that 2026 could improve as the year progresses, but for this to happen there would need to be drastic changes in some of the global and local issues currently experienced.”
John Newcomb, CEO of the BMF, said: “Providing building materials for housing—whether for new builds or RMI – is a central aspect of our sector, but with fewer people moving home or entering the housing market, demand across the supply chain remains subdued. It is difficult to foresee significant growth in these markets without a return of consumer confidence, which government support for first-time buyers could help foster. Unfortunately, a new factor has now emerged, as the Middle Eastern conflict is almost certain to cause higher inflation, delaying a previously expected interest rate cut.”
