UK timber prices have dropped by five per cent in recent months, the first decline in two years.

UK timber prices have fallen by around five per cent in recent months, the first decline in two years, driven by improved sawmill supply and stabilised imports.

While housebuilders welcome the easing in costs, Think Timber is warning that this headline reduction masks growing financial pressure on specialist timber manufacturers — particularly staircase manufacturers.

Staircase manufacturing remains labour-intensive and highly regulated. Rising wages, energy costs, and compliance requirements mean gross profit on some staircases can be as low as £25, with net margins even tighter. A growing number of manufacturers have already been forced to close, increasing pressure on remaining suppliers and raising the risk of longer lead times and inconsistent quality.

“Lower timber prices are positive, but they don’t reflect the full cost of manufacturing specialist products like staircases,” said Gavin Brown, CEO of Think Timber. “Labour, compliance, and precision engineering costs have all risen, yet expectations around maintaining/lowering pricing continue to move in the opposite direction. This puts quality and safety at risk.”

While falling timber prices remain a favourable development for builders, Think Timber is urging the industry to look beyond short-term savings. The demand placed on staircase manufacturers is not currently aligned with industry needs, creating business pressures that risk undermining both quality and long-term value.

Engineered timber, for example, is largely absent from standard specifications despite offering opportunities for waste reduction, design innovation, and long-term cost efficiency. High-quality materials not only ensure staircases are durable, safe and compliant, but they also deliver better value over traditional, lower-spec timber. Cheaper alternatives, by contrast, often compromise both performance and lifespan.

Think Timber warns that if the industry continues to push for lower prices without fully understanding the implications, production, quality, and safety will come under strain. The business is calling for clearer, early-stage specifications on housing projects. Doing so allows manufacturers to plan effectively, reduce waste and deliver safer, innovative staircases. With proper investment in quality materials, the approach benefits builders, homeowners, and the wider sector.