Lafarge Tarmac take top block spot

BDS publish latest annual report on market shares of building block companies in Great Britain

FOLLOWING their acquisition of Tarmac Building Products Ltd in April this year, Lafarge Tarmac are now the largest building blocks company in Great Britain, and one of only three companies in the industry that produce both aggregate and aircrete blocks.

Taken separately, the company is not the largest blocks supplier in either sector. However, as a whole, Lafarge Tarmac produce half as much again as their nearest competitor.

These are some of the conclusions of the latest BDS annual report on the industry, entitled ‘Estimated market shares of building block companies in Great Britain’.

BDS have identified Lafarge Tarmac, Hanson, Plasmor, H&H and Aggregate Industries as the five largest companies in the industry. Together, the consultancy estimates that these businesses have around 55% of the market.

The strength of the housing market has helped block producers, and this is now being followed by recovery in other private industrial and commercial markets.

BDS have estimated that the blocks market increased by 11% in 2013 and they expect further growth of 5% in 2014, as well as similar increases in each of the next two years.

The consultancy says that after many years of stagnant demand and plant closures, block companies have been surprised by this sudden recovery. Whilst suppliers in the North continue to cope with demand, those in the South have struggled to match production with demand.

BDS have identified just three recent planning consents for additional capacity. One relates to an extension to an existing plant, whilst the other two are for new works. One is particularly significant, involving the construction of a major rail-connected works, able to supply the South East.

All these trends are analysed in the BDS report which also estimates the output of each of the 100 block plants operated by around 50 companies in the industry.

Further details of the report are available by contacting BDS Marketing.