The latest Builders Merchant Building Index (BMBI) report shows builders’ merchants’ value sales in July 2025 were virtually flat (+0.1%) compared to July 2024. Year-on-year volumes increased +0.6% while prices fell -0.6%. There was no difference in trading days.
Year-on-Year
Eight of the twelve categories sold more in terms of value compared to July last year. Renewables & Water Saving (+3.7%), Timber & Joinery Products (+2.6%), Kitchens & Bathrooms (+1.8%) and Services (+1.7%) were the best performing categories. Heavy Building Materials (-1.1%), Decorating (-3.9%) and Workwear & Safetywear (-5.3%) were the weakest.
Month-on-Month
Value sales in July were +5.8% higher than in the month of June. Month-on-month, volume sales were up +5.4% and prices were up +0.4%. All categories’ value sales increased with Miscellaneous (+11.3%), Services (+9.0%), Tools (+8.9%), Decorating (+7.4%), Timber & Joinery Products (+6.9%), Heavy Building Materials (+6.3%) and Ironmongery (+6.0%) ahead the most. Landscaping (+0.6%) grew more slowly. With an extra two trading days in July, like-for-like value sales (which take trading day differences into account) were -3.4% lower.
Latest 12 months
Total value sales in the 12 months from August 2024 – July 2025 were flat (0.0%) in comparison to the previous 12-month period (August 2023 – July 2024). Volume sales increased +1.7% but prices decreased -1.7%. Seven categories sold more by value, with Services (+3.7%), Tools (+3.3%) and Landscaping (+2.6%) doing best. Of the two biggest categories, Heavy Building Materials’ (0.0%) performance was on a par with Total Builders Merchants, while Timber & Joinery Products (-1.1%) fell behind. Renewables & Water Saving (-3.9%) was weakest. With one less trading day this year, like-for-like value sales were +0.4% higher.
Krystal Williams, Managing Director at Pavestone and BMBI’s Expert for Natural Stone & Porcelain Paving, comments:
“After a buoyant pre-sales season and a booming Q1, where our biggest challenge was getting stock to customers fast enough, Q2 continued in the same vein – until it didn’t. April and May saw COVID lockdown levels of orders, with beige porcelain for example up 90% on last year, which we had not forecasted. But since June, the market has softened significantly.
“Speaking to our merchant customers, the massive drop off in demand is a trend that goes beyond paving products. What’s behind the peaks and troughs remains unclear.
“The sudden reduction in demand is difficult for us to navigate as suppliers. Our European porcelain paving can arrive in the UK within three weeks, while our sandstone products and a selection of porcelain options, are shipped from India which has a ten-week lead time.
‘Fragile ceasefire’
“The fragile ceasefire agreed between President Trump and the Houthi rebels has not resolved issues and vessels travelling between Asia and Europe must still use the longer Cape of Good Hope route. We can’t be agile and react quickly to fluctuations in demand with a two-month lead time.
“In terms of product trends, it’s a year for lighter, natural and neutral colours. At the halfway point, porcelain is the biggest winner so far, with cream and ivory the most popular colours. Porcelain is fast approaching a 50% market share. It may only be a matter of time before porcelain takes the top spot from sandstone to become the number one choice for UK households.
“Twenty twenty-five has given us some incredible highs and some hard times that we hadn’t expected. With the forecasts out the window, who knows what H2 holds for the paving sector, and our landscapers and merchants. Whatever happens, we must face it together with mutual understanding and patience.”
BMBI Experts speak exclusively for their markets, explaining trends, issues and opportunities. For the latest reports, Expert comments and Round Table videos, visit www.bmbi.co.uk.
