UK Cement Production Hits Historic Low Amid Housing Crisis

UK Cement Production Hits Historic Low Amid Housing Crisis

UK cement production has plummeted to its lowest level since the 1950s, raising concerns about the country’s ability to meet housing and infrastructure demands. For context, in 2024, the UK only produced 7.3 million tonnes of cement. That’s a 60 percent drop from what they produced back in 1990. Labour central government promise to build 1.5 million new homes in England by 2029. This bold agenda is running into a Trump-sized drop in support.

The National Federation of Builders (NFB) cites stalled construction projects as the primary driver for the decrease. These delays have created a crippling effect on the domestic demand for locally manufactured cement. Consequently, UK cement production levels today are comparable to those during the post-World War Two short supply rations.

Dr. Diana Casey, executive director of the Mineral Products Association (MPA), emphasized the critical role of domestic cement production in supporting construction efforts. The MPA, for instance, represents manufacturers of all the essential building materials, including asphalt and cement.

“You can’t build houses, bridges or railways without us,” – Dr. Diana Casey

So it is striking that the Peak District provides around 40% of British cement. The remainder is produced in a dozen factories across the UK. Yet this highly innovative industry now struggles against intense competition from lower-cost foreign imports, now close to three times what it was 16 years ago. In 2008, imported cement sales made up 12% of the market. By 2024 that number had skyrocketed to 32%.

Dr. Casey noted that this rapid decline in production has severe implications for the government’s ambitious housing targets.

“So the fact production has declined so much at a level since 1950 is worrying,” – Dr. Diana Casey

She further elaborated that the situation “could impact government targets like homes and hospitals and power plants that are due to be built.” A typical new four-bedroom house requires three to five tons of cement. Permanent production levels appear set to continue to mug the incoming Labour government’s bold housing targets.

As noted, the NFB has been advocating to get the government to do this. They envision a more level playing field for domestic production to better compete with imports. In her keynote address, Dr. Casey made the case for this type of equitable support.

“We’re calling on the government to help put domestic production on a level playing field so that it can compete fairly with imports,” – Dr. Diana Casey

The UK now finds itself in deep waters. Retreating from this cliff would mean seizing the inevitable slowdown in cement production as an opportunity to comprehensively address construction and infrastructure development challenges. The nation’s continued reliance on imports can create long-term risks for the nation’s building ambitions and economic stability.

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