The latest Builders Merchant Building Index (BMBI) report reveals Total Builders Merchants like-for-like value sales for Q1 2026, adjusted to remove the impact of trading days, were -3.2% lower than Q1 2025. Like-for-like volume sales were down -8.1%, with prices increasing +5.4%.

With no difference in trading days, unadjusted Q1 total value sales were also down -3.2% year-on-year. By value, seven categories sold more with Renewables & Water Saving (+14.3%) performing best. Of the two biggest categories, Timber & Joinery Products (+0.9%) performed better than Total Builders Merchants, but Heavy Building Materials fell -6.7%.

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March sales Year-on-Year

March 2026 like-for-like value sales were -3.6% lower than March 2025. Like-for-like volume sales dropped -7.8% while prices increased +4.6%. With one additional trading day in March 2026, unadjusted total value sales were up +1.0% year-on-year. Unadjusted volumes were down -3.4% and prices were up +4.6%.

Ten categories sold more by unadjusted value, with Renewables & Water Saving (+14.5%) the standout category. Timber & Joinery Products (+4.2%) outperformed Total Builders Merchants, but Heavy Building Materials was down -1.7%.

Last 12 months

In the 12 months April 2025 to March 2026, like-for-like value sales were flat (0.0%) compared to the previous 12-months (April 2024 to March 2025). Like-for-like volume sales were down -1.0% but prices increased +1.0%. With one less trading day in the most recent 12-month period, unadjusted value sales were down -0.4% with volumes down -1.4% and prices up +1.0%. By value, nine categories sold more, led by Renewables & Water Saving (+8.5%). Timber & Joinery Products grew +2.1% however Heavy Building Materials declined -2.4% and was weakest overall.

Paul Haynes, Product, Solutions & Marketing Director for BAXI and BMBI’s Expert for Heating & Hot Water Solutions, says:

“Gas boilers continued to dominate the UK heating market in Q1 2026. With over 80% of UK households using gas for central heating some replacement demand is unavoidable, but sales of domestic gas boilers and hot water cylinders in Q1 were down from Q1 2025.

“Boiler Upgrade Scheme (BUS) applications were 22% up compared with December 2025 but given the Iran conflict and its impact on cost of energy, it remains to be seen if applications convert to installations. As the primary low carbon technology, heat pumps represent most BUS applications.

“Consumer intent is growing, but the ability to deliver is restricted by installer availability, confidence, and the practical complexity of low temperature system design. Those constraints will only be resolved through simpler propositions, better training and closer collaboration across the supply chain.

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“The Future Homes Standard is already shaping developer behaviour, with fossil fuel systems increasingly designed out at concept stage. More materially, the transition into Clean Heat Market Mechanism Year 2 marks a significant escalation. From April 2026, manufacturer obligations increased from 6% to 8% of boiler sales, accelerating investment in heat pump portfolios, installer training and commercial partnerships.

“Disruption to global energy flows in Q1, including closure of the Strait of Hormuz, drove sharp increases in kerosene and heating oil prices (up to three times), disproportionately impacting off grid households and further strengthening the long term case for electrification. These properties should be prime targets to move to heat pumps, but the problem of skilled installers in often remote locations is amplified.

“The UK housing stock is old and inefficient, and meeting net zero ambitions alongside housing delivery targets cannot be achieved through incremental upgrades. Success will depend on collaboration rather than substitution, with developers and landlords increasingly seeking partners who can co-engineer integrated low risk solutions supported by performance assurance, simplified installation and transparent lifecycle data.”

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