The appearance of a multitude of additional costs
Building VSEs, at the end of the chain just before the end customer, collect equipment and materials from their suppliers at increasingly expensive prices, without always passing on the entire price increase in their quotes. The risk would be, by announcing too high a price to a particular customer, to lose it. With, assures the Capeb, as a bonus, the recent appearance of a multitude of small additional costs, which did not exist before; for example, adding a cost line for pallets.
Long-awaited “Building Assizes”
La Capeb intends to take advantage of the holding of the next “Assises du bâtiment” announced by the public authorities to convey messages at the highest level. The State, according to the craftsmen, should encourage the entire value chain, starting with manufacturers and distributors, to play the game more, in the spirit of the construction crisis committee and the work of the mediation of companies. “We are asking for more price transparency”also advances Jean-Christophe Repon. “Let it be clearly explained to us what emerges from the rise in energy prices, from the war in Ukraine: we would like to understand.” While calls for solidarity are numerous within the sector, “we expect proof of love from this solidarity”he says teasingly.
The Capeb will return to the load on the VAT
The employers’ organization recently co-signed a sector solidarity pact with seven of its distributor and industrial partners. This idea of valuing the actors who play the game visibly challenged the business mediator, Pierre Pelouzet. “I hope this idea will make its way”expresses the boss of the Capeb. “We are not trying to stigmatize anyone: we want the government to speak to the actors.” Building craftsmen will take advantage of the upcoming Conference to put forward other proposals intended not to block the market in this inflationary context, such as an energy renovation check for households, an increase in certain MaPrimeRénov ‘scales, or even a change in the rate VAT reduced.
An increase of 18% observed in the first quarter of 2022
Which trades, among building craftsmen, bear the highest price increases? And how much of these increases are reflected in the final price? La Capeb surveyed 1,700 craft building companies, with the company Xerfi, in order to get an idea.
All business segments combined, building VSEs report an 18% increase in the price of materials in the first quarter of 2022 – to which must be added the 18% increase observed over the year 2021. A situation that does not is obviously not neutral, since on average the weight of the purchases of materials and equipment represents 30% of the expenses in these companies.
In detail, over the period, the carpentry-locksmithing supports the largest increase, with a 21.5% increase. This is followed by masonry-general contractors (+19.4%), roofing-plumbing-heating (+17%), and equally by fittings-decoration-plasterwork and electricity (+16.4%).
The sectors to have the most reflected price increases in their quotes are electricians (75%), already accustomed in normal times to taking account of changes in the prices of certain metals. This is followed by carpenters (72%), HVAC (68%), masons (54%) and fittings-decoration-plasterwork (46%). But how much of the price increase is passed on ? At best, 59% of it among carpenters, 57% among electricians, 45% in HVAC, 37% in masonry and 33% in fittings-decoration-plasterwork.
Hence the fact that Jean-Christophe Repon assures us to wait with “impatience” the industry meeting promised by the public authorities.
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