There has been a steady increase in prices in the UK for several years. Whereas previously the changes were annual and in small percentages, now the cost of materials has started to change at a much faster rate. Contributing to this are some of the major events that have taken place, such as Brexit, Covid and the war.
While it used to be safe for a builder to use estimates made months in advance, this is no longer an effective way of giving a realistic price. The purchase of a purpose-designed garden room/anchor/mobile home is not a quick purchase. Often there are several months between when the design/estimation is agreed and when work starts.
As a family business, we know that this is no small expense and we will try to explain to you why:
As we are no longer part of the EU, this means that we are not part of the EU customs union and new VAT and tax rules apply. As well as companies now having to pay import tax, they have a lot more paperwork to comply with and 20% VAT is added to orders over a certain amount. According to the government website, more than 3,500 companies were at risk of losing their ability to import from outside the UK in October 2022. This is due to the new UK customs regime that businesses must comply with in order to continue importing goods from outside the UK.
Although we buy most of our materials from UK-based companies, our supplier often has to source parts from outside the UK. This means they now have higher costs which they have to pass on to us so that we can survive.
After the covid, more and more people want a garden room where they can work from home, exercise or just spend time with their family. The number of requests for annexes for elderly relatives or family members has also increased. The very high demand has resulted in shortages of materials, which has pushed up prices.
We always strive to provide you with cost-effective options without sacrificing quality. While we very much want this to be the case every time, we have to remember that even materials such as wood and cement have increased by 60%, which means that our prices have to match the demand for today’s costs.