| 1. |
INTRODUCTION |
7 |
| 2. |
SUMMARY |
8 |
| 3. |
ECONOMIC ENVIRONMENT |
12 |
| 3.1 | GDP |
12 |
| 3.2 | INFLATION & INTEREST RATES |
13 |
| 3.3 | UNEMPLOYMENT |
14 |
| 3.4 | HOUSEHOLD CONSUMPTION |
14 |
| 3.5 | HOUSING & CONSTRUCTION |
15 |
| 3.6 | STERLING |
16 |
| 3.7 | POPULATION PROFILE |
17 |
| 3.8 | CONCLUSIONS |
19 |
| 4. |
CONSTRUCTION MARKET |
20 |
| 4.1 | THE CONSTRUCTION MARKET |
20 |
| 4.1.1 | Value of Output Construction New Work |
20 |
| 4.1.2 | Value of New Orders |
23 |
| 5. |
THE NEW HOUSING MARKET |
25 |
| 5.1 | DEFINITION |
25 |
| 5.2 | THE HOUSING MARKET |
25 |
| 5.2.1 | Overall Market Performance |
26 |
| 5.2.2 | Housing Market during 2003 |
26 |
| 5.2.3 | Housing Market Outlook |
27 |
| 5.3 | HOUSING STARTS |
27 |
| 5.3.1 | Overall Figures |
27 |
| 5.3.2 | Barker Review of Housing Supply |
29 |
| 5.3.3 | Regional Housebuilding Starts |
31 |
| 5.4 | HOUSING COMPLETIONS |
33 |
| 5.4.1 | Overall Figures |
33 |
| 5.4.2 | Registered Social Landlords (RSLs) |
35 |
| 5.5 | VALUE OF HOUSEBUILDING |
36 |
| 5.6 | HOUSE PRICES |
38 |
| 5.6.1 | Average Price of New Dwellings |
38 |
| 5.6.2 | Regional Variations |
39 |
| 5.7 | HOUSING STOCK |
40 |
| 5.7.1 | Overall Housing Stock |
40 |
| 5.7.2 | Household Tenure |
42 |
| 5.7.3 | Size of Household |
43 |
| 5.7.4 | Dwelling Stock by Age |
45 |
| 5.7.5 | Housing Land |
46 |
| 5.7.6 | Factors affecting Housing Design & Construction |
47 |
| 6. |
THE HOUSEBUILDERS |
49 |
| 6.1 | DEFINITIONS |
49 |
| 6.1.1 | National Housebuilders |
49 |
| 6.1.2 | Larger Regional Housebuilders |
49 |
| 6.1.3 | Smaller Regional And Local Housebuilders |
49 |
| 6.2 | OVERALL MARKET |
50 |
| 6.3 | HOUSEBUILDERS MARKET SHARE |
51 |
| 6.3.1 | The National Housebuilders |
54 |
| 6.3.2 | Regional and Local Housebuilders |
66 |
| 7. |
HEATING AND ELECTRICAL SYSTEMS MARKET TRENDS |
68 |
| 7.1 | OVERALL MARKET VALUE OF DOMESTIC HEATING AND ELECTRICAL SYSTEMS |
69 |
| 7.2 | DOMESTIC HEATING MARKET SIZE |
69 |
| 7.2.1 | Market Value |
69 |
| 7.2.2 | Product Mix |
70 |
| 7.2.3 | Central Heating |
71 |
| 7.2.4 | Space Heating |
77 |
| 7.2.5 | Water Heating |
80 |
| 7.3 | ELECTRICAL SYSTEMS |
82 |
| 7.3.1 | Market Value |
82 |
| 7.3.2 | Wiring Accessories |
83 |
| 7.3.3 | Lighting |
84 |
| 7.3.4 | Under-Floor Heating |
87 |
| 8. |
NEW BUILD MARKET - HEATING & ELECTRICAL PRODUCTS |
88 |
| 8.1 | GENERAL MARKET |
88 |
| 8.1.1 | Overall Market Influences |
88 |
| 8.1.2 | Housing Trends |
89 |
| 8.1.3 | Heating and Electrical Trends in New Build |
90 |
| 8.2 | THE NEW BUILD MARKET |
102 |
| 8.2.1 | Market Size For New Build Heating & Electrical Systems |
102 |
| 8.2.2 | Heating Systems |
103 |
| 8.2.3 | Electrical Systems |
111 |
| 9. |
BUYING AND SPECIFICATION OF HEATING AND ELECTRICAL SYSTEMS IN NEW BUILD HOMES |
117 |
| 9.1 | OVERVIEW OF THE BUYING AND SPECIFICATION PROCESS |
117 |
| 9.2 | SPECIFICATION OF HEATING AND ELECTRICAL PRODUCTS |
117 |
| 9.2.1 | Technical Specification |
117 |
| 9.2.2 | Brand Specification |
119 |
| 9.2.3 | Purchasing Responsibility and Installation Process |
119 |
| 9.2.4 | Source of Purchase |
120 |
| 9.3 | KEY FACTORS INFLUENCING CHOICE |
121 |
| 9.3.1 | The Most Important Consideration |
122 |
| 9.3.2 | The Second and Third Most Important Consideration |
123 |
| 10. |
FUTURE PROSPECTS |
126 |
|
TABLES
& CHARTS
|
| CHART 1 |
VALUE OF THE NEW BUILD MARKET FOR HEATING AND ELECTRICAL INSTALLATIONS 1995-2007 (£M) MSP |
8 |
| CHART 2 | INTEREST RATES AND INFLATION (RPI) FROM 1990-2006 |
13 |
| CHART 3 | PDI & SAVINGS RATIO AT CURRENT PRICES 1990-2006 |
15 |
| TABLE 4 | EXCHANGE RATE FLUCTUATIONS 1999-2005 - THE POUND STERLING TO THE DOLLARS, AND THE ECU, SPOT RATES |
17 |
| CHART 5 | AGE DISTRIBUTION OF THE RESIDENT UK POPULATION 2001 (000) |
18 |
| CHART 6 | VALUE OF CONSTRUCTION OUTPUT NEW WORK 1990-2003 (£ BILLION) |
20 |
| TABLE 7 | CONSTRUCTION NEW WORK OUTPUT BY SECTOR 1995-2004 (£ BILLION) AT CURRENT PRICES |
21 |
| TABLE 8 | NEW ORDERS OBTAINED BY CONTRACTORS 1995-2003 CURRENT PRICES (£ MILLION) |
24 |
| TABLE 9 | HOUSING STARTS 1995-2007 IN GREAT BRITAIN BY SECTOR (000) |
28 |
| TABLE 10 | PRIVATE HOUSEBUILDING STARTS 1998-2003 GB REGIONS BY VOLUME (000) |
31 |
| TABLE 11 | PUBLIC SECTOR* HOUSEBUILDING STARTS 1998-2003 GREAT BRITAIN REGIONS BY VOLUME (000) |
32 |
| TABLE 12 | PRIVATE SECTOR HOUSEBUILDING COMPLETIONS 1995-2007 GB (000 DWELLINGS) |
34 |
| TABLE 13 | UK VALUE OF HOUSEBUILDING CONTRACTORS OUTPUT AT CURRENT PRICES (£ MILLION) 1995 - 2003 |
37 |
| TABLE 14 | AVERAGE PRICE OF NEW DWELLINGS 1993 2003 (£000) |
39 |
| TABLE 15 | STOCK OF DWELLINGS IN GREAT BRITAIN 1971-2003 |
41 |
| TABLE 16 | HOUSEHOLD TENURE DISTRIBUTION IN GREAT BRITAIN 1994 TO 2003 |
42 |
| TABLE 17 | AVERAGE HOUSEHOLD SIZE FOR GREAT BRITAIN 1971-2003 |
43 |
| CHART 18 | MIX OF STOCK OF DWELLINGS BY AGE 2003 ENGLAND |
45 |
| TABLE 19 | NHBC REGISTERED BUILDERS BY NUMBER OF UNITS STARTED 1994-2003 |
50 |
| TABLE 20 | MARKET SHARE OF THE LEADING HOUSEBUILDERS BY VOLUME 20031 |
52 |
| TABLE 21 | TOTAL UK MARKET FOR DOMESTIC HEATING AND DOMESTIC ELECTRICAL/LIGHTING SYSTEMS MSP (£ MILLION) |
69 |
| TABLE 22 | TOTAL DOMESTIC HEATING MARKET (£M MSP) 2000-2006 |
70 |
| CHART 23 | DOMESTIC HEATING EQUIPMENT BY PRODUCT GROUP % BY VALUE 2003 |
71 |
| TABLE 24 | UK DOMESTIC CENTRAL HEATING INSTALLATIONS BY TYPE ('000'S) 1997-2006 |
72 |
| TABLE 25 | UK SPACE HEATING MARKET 1996-2006 - VALUE (£M MSP) |
78 |
| TABLE 26 | UK MARKET FOR WATER HEATING SYSTEMS 1996-2006 (£M AT MSP) |
80 |
| TABLE 27 | UK DOMESTIC ELECTRICAL SYSTEMS MARKET 1996-2006 - VALUE (£ M) AT MSP |
83 |
| TABLE 28 | MARKET FOR HEATING AND ELECTRICAL INSTALLATIONS IN NEW BUILD HOMES IN 2003 - VALUE (£ M) AT MSP |
102 |
| TABLE 29 | SAP RATINGS AWARENESS AMONGST HOUSEBUILDERS IN 2003 |
104 |
| TABLE 30 | DIFFERENCES BETWEEN AN AVERAGE NEW HOME* AND A VERY GOOD ECO-HOME |
105 |
| TABLE 31 | PERCENTAGE OF HOMES WITH A BRE ECO-HOME RATING |
106 |
| TABLE 32 | TYPES OF HEATING INSTALLATION (%) OF NEW BUILD HOMES IN 2003 |
107 |
| TABLE 33 | TYPE OF BOILER USED IN NEW HOMES IN 2003 |
109 |
| TABLE 34 | ADDITIONAL HEATING PRODUCTS FITTED INTO NEW HOMES* IN 2003 |
110 |
| CHART 35 | THE AVERAGE NUMBER OF POWER POINTS PER ROOM INSTALLED IN NEW BUILD HOMES (EXCLUDING KITCHEN) IN 2003 |
112 |
| TABLE 36 | ADDITIONAL LIGHTING AND ELECTRICAL PRODUCTS FITTED INTO NEW HOMES IN 2003 |
115 |
| TABLE 37 | RESPONSIBILITY FOR TECHNICAL SPECIFICATION OF HEATING AND ELECTRICAL SYSTEMS IN NEW HOMES IN 2003 |
118 |
| TABLE 38 | RESPONSIBILITY FOR BRAND SPECIFICATION OF HEATING AND ELECTRICAL SYSTEMS IN NEW HOMES IN 2003 |
119 |
| TABLE 39 | RESPONSIBILITY FOR PURCHASING HEATING AND ELECTRICAL SYSTEMS - NEW HOMES 2003 |
120 |
| CHART 40 | MAJOR SOURCE OF PURCHASE FOR HEATING AND ELECTRICAL SYSTEMS PRODUCT FOR NEW BUILD HOMES 2003 |
121 |
| CHART 41 | THE MOST IMPORTANT CRITERIA IDENTIFIED BY HOUSEBUILDERS WHEN SPECIFYING HEATING AND ELECTRICAL PRODUCTS 2003 |
122 |
| CHART 42 |
THE SUBORDINATE SPECIFICATION CRITERIA IDENTIFIED BY HOUSEBUILDERS FOR PRODUCTS FOR HEATING AND ELECTRICAL SYSTEMS 2003 |
124 |
