British construction’s demand for heavy side materials increased in the final months of 2024, according to new data from the Mineral Products Association (MPA) which is calling on the Government to turn pledges into policies that support growth.
From a very low base, sales volumes of ready-mixed concrete in Great Britain rose in the final quarter of the year (Q4 2024) compared to the previous quarter, whilst construction aggregates (crushed rock, sand and gravel) saw a modest increase, with mortar volumes climbing in the same period.
The latest MPA figures, based on actual materials supplied, reveal tangible evidence of an early recovery in construction markets. The survey tracks the tonnages sold for aggregates, asphalt, ready-mixed concrete and mortar – materials essential for the foundations and fabric of all new structures.
MPA economists say that results of the survey are grounds for cautious optimism in the mineral products sector, as well as the wider construction industry, as demand begins to improve from historically low levels.
For mortar, which is predominantly used in housebuilding, sales volumes have now risen for three consecutive quarters, reaching their highest level since Q3 2023. This indicates a slow but steady revival in housebuilding activity during the second half of 2024, mirroring trends in other housing market indicators, including increased mortgage approvals and rising house prices. As we enter 2025, there are signs that a more sustained recovery in housing construction can be expected this year.
Despite these encouraging signals, the MPA data also underscores the severity of the construction slowdown over the past two years and the major challenges facing the £22 billion mineral products industry. For example, annual mortar sales fell in 2024, dropping below 2 million tonnes – some 28% lower than their 2022 peak of 2.7 million tonnes.
Similarly, ready-mixed concrete, ubiquitous to all types of construction projects, faced an annual decline in 2024, reaching its lowest level in over 60 years. Primary aggregates sales declined, with sand and gravel particularly impacted due to weak demand from the struggling ready-mixed concrete market, where it is mostly used. In contrast, crushed rock held up better, supported by demand from major infrastructure projects, particularly HS2. Meanwhile, asphalt sales fell, affected by delays and cancellations of road schemes and ongoing constraints on local authorities’ budgets for road maintenance.
MPA forecasts modest growth in mineral product sales in 2025, driven by improving economic conditions and a gradual recovery in the housing market. Major infrastructure projects, including HS2, Hinkley Point C, Sizewell C, and gigafactories, including the £4bn Agratas plant in Somerset, are also expected to bolster demand for aggregates and ready-mixed concrete.
Regional data from 2024 demonstrates the significant impact individual infrastructure projects can have. For example, while asphalt sales declined in most regions last year, the South West of England recorded a 9.9% rise, driven by the completion of two major road projects, the A30 and A303.
Ahead of the Chancellor’s Spring Statement on 26th March 2025, as well as the Government’s 10-year infrastructure strategy and the Comprehensive Spending Review due later this Spring, Aurelie Delannoy, Director of Economic Affairs at MPA, emphasised the need for Government action to support industry.
