Business
UK cement production drops to lowest levels since 1950s
Pritti Mistry & Simon BrowningBusiness reporters, BBC News
Getty ImagesUK cement production has fallen to its lowest level since 1950, putting the government’s house building plan at risk, a trade body has warned.
Cement is the key binding ingredient in concrete, which is the most widely used material in the construction industry, and mortar.
The Mineral Products Association (MPA) said production levels were “increasingly under threat” due to high energy, regulatory and labour costs.
The Department for Business and Trade said it recognised challenges in the sector and its Industrial Strategy was increasing help for energy-intense companies, which include cement manufacturers.
The Labour government has pledged to build 1.5 million new homes in England by 2029 as part of efforts to solve the housing crisis and boost economic growth.
Under a separate investment strategy unveiled in June, Chancellor Rachel Reeves pledged to pour £725bn over the next decade into maintaining existing infrastructure and building new projects.
But the UK made just 7.3 million tonnes of cement in 2024, according to the MPA, which represents manufacturers of products such as asphalt and cement.
The trade body said that was about half of that produced in 1990 and similar to production levels seen when rationing was still in place following the World War Two.
MPA executive director Dr Diana Casey said the decline threatened to derail the government’s ambitions for housing, infrastructure and clean energy projects.
“[You] can’t build houses, bridges or railways without us,” she told the BBC.
“So the fact production has declined so much at a level since 1950 is worrying,” she continued, adding that it “could impact government targets like homes and hospitals and power plants that are due to be built”.
The MPA said a project such as the Sizewell C nuclear power plant could need up to 750,000 tonnes of cement and a new hospital would require nearly 8,000 tonnes.
A traditional four-bedroom home needs between three and five tonnes.
The MPA said production had fallen due to rising costs and changes to carbon taxation, which reduced market competitiveness and was a major concern to the sector.
It also highlighted the growth of cheaper cement import sales nearly tripling over the past 16 years, from 12% in 2008 to 32% in 2024.
Ms Casey said more action was needed to cut electricity prices, which were “disproportionately affecting the industry”.
“[The] UK is uncompetitive because of high costs – energy particularly – and regulatory burden because of carbon, therefore it is cheaper to import cement,” she said.
“We’re calling on the government to help put domestic production on a level playing field so that it can compete fairly with imports.”
In a statement, the Department for Business and Trade said: “We recognise the cement sector faces challenges which is why our modern Industrial Strategy is increasing support for energy-intensive firms through our Supercharger scheme, which will slash energy prices for eligible businesses.”
According to the MPA, about 40% of British cement is manufactured in the Peak District, with the rest of the production spread across the UK.
The trade body fears jobs could be at risk and “disappear in the future” if imports rise.
Rico Wojtulewicz, head of policy and market insights at the National Federation of Builders, said it was getting harder for construction firms, because there were many stalled projects which meant there was a reduced need for locally manufactured cement.
Building costs had also continued to rise, he added, which was pushing smaller builders out of the sector and driving others to find savings.
“They are all looking for better priced materials,” he said.
Last Updated:
Gold is sold at a discount in Dubai due to Middle East conflict disrupting flights. Traders offer up to $30 per ounce less than London prices.
Dubai Gold Selling Cheaper As Iran War Grounds Flights
Gold is being sold at a discount in Dubai as the widening conflict in the Middle East disrupts flights and hampers the movement of bullion from one of the world’s key trading hubs.
According to a Bloomberg report, traders in Dubai are offering discounts of up to $30 per ounce compared to the global benchmark price in London. The unusual price cut comes as shipments remain stranded due to flight disruptions triggered by the escalating conflict involving Iran and Israel.
Dubai is a key global centre for refining and exporting gold to markets across Asia, including India. However, partial airspace restrictions and heightened security risks have slowed the movement of bullion out of the region.
Why Gold Is Being Sold Cheaper
Gold is typically transported in the cargo holds of passenger aircraft. With several flights from the UAE restricted amid regional tensions, traders are struggling to move bullion to international markets.
At the same time, insurance and freight costs have surged, making shipments more expensive and uncertain. Many buyers have therefore stepped back from placing new orders, unwilling to bear high logistics costs without assurance of timely delivery.
To avoid paying prolonged storage and financing costs while shipments remain stuck, some traders are offering gold at discounted prices.
Although transporting bullion by road to airports in neighbouring countries such as Saudi Arabia or Oman is theoretically possible, logistics firms are reluctant due to the risks and complications of moving high-value cargo across land borders during a conflict.
What It Means For India
India, one of the largest buyers of gold shipped from Dubai, could face short-term supply disruptions if the situation continues.
Renisha Chainani, head of research at Augmont Enterprises Ltd., said several cargo shipments have already been delayed, creating temporary tightness in the availability of physical bullion in India.
However, industry experts as reported by Bloomberg say the immediate impact may remain limited as domestic inventories are currently comfortable after heavy imports earlier this year.
Chirag Sheth, principal consultant for South Asia at Metals Focus, said Bloomberg that India has ample stocks for now, but warned that prolonged disruptions could eventually affect supply if the conflict continues for several months.
Meanwhile, global gold prices have surged this year amid geopolitical uncertainty, with spot gold recently trading above $5,000 per ounce.
Click here to add News18 as your preferred news source on Google.
Follow News18 on Google. Join the fun, play games on News18. Stay updated with all the latest business news, including market trends, stock updates, tax, IPO, banking finance, real estate, savings and investments. To Get in-depth analysis, expert opinions, and real-time updates. Also Download the News18 App to stay updated.
March 08, 2026, 10:03 IST
Read More
Some seven in 10 British adults without a full driving licence say learning to drive is currently unaffordable, according to a survey.
The figure is even higher among younger people, with 76% of 18 to 29-year-olds without a licence saying driving lessons are financially out of reach, the poll for car insurer Prima found.
Overall, 38% said the cost of driving lessons was the biggest deterrent to learning to drive.
Some 32% were put off by the price of buying a car and 15% said the cost of car insurance was the main barrier to learning to drive.
Almost half (45%) said they would consider learning to drive if it became significantly cheaper.
Nick Ielpo, UK country manager at Prima, said: “For a growing number of people, driving is no longer a symbol of freedom – it’s a financial stretch too far.
“Between lessons, buying a car and insuring it, the upfront and ongoing costs are pricing many people out before they even start.”
Find Out Now surveyed 1,134 adults who do not hold a full driving licence between January 21 and 23.
Go Digit General Insurance on Saturday said it has received a demand notice of about Rs 170 crore for short payment of goods and services tax (GST) for nearly five years. The company has received an order copy from the Office of the Commissioner of GST & Central Excise, Chennai South Commissionerate on March 6, confirming GST demand of Rs 154.80 crore levying penalty of Rs 15.48 crore and Interest u/s 50 of CGST Act, 2017 for the period July 2017 to March 2022, the insurer said in a regulatory filing. The company is in the process of evaluating the legal advice on the implications and would file an appeal, it said.
Special loan facility for Feb wages in Bangladesh’s export units
Let girls fly
Why have 1,000 ships at times lost their GPS in the Mideast?
LPGA legend shares her feelings about US women’s Olympic wins: ‘Gets me really emotional’
India Us Trade Deal: Fresh look at India-US trade deal? May be ‘rebalanced’ if circumstances change, says Piyush Goyal – The Times of India
South Korea’s Misto Holdings completes planned leadership transition
-
Sports1 week agoLPGA legend shares her feelings about US women’s Olympic wins: ‘Gets me really emotional’
-
Business1 week ago
India Us Trade Deal: Fresh look at India-US trade deal? May be ‘rebalanced’ if circumstances change, says Piyush Goyal – The Times of India
-
Fashion1 week agoSouth Korea’s Misto Holdings completes planned leadership transition
-
Entertainment1 week agoPakistan’s semi-final qualification scenario after England defeat New Zealand
-
Entertainment1 week agoBobby J. Brown, “The Wire” and “Law & Order: SUV” actor, dies of smoke inhalation after reported fire
-
Business1 week agoCNBC To Merge TV And Digital News Operations, Nearly A Dozen Jobs To Be Cut: Report
-
Business1 week agoGreggs to reveal trading amid pressure from cost of living and weight loss drugs
-
Entertainment1 week agoWhat’s new in Pokémon? Every game, update, surprise from 30th anniversary event