|
|
Underfloor heating has been widely used in Europe for more than
thirty years. The UK market is younger and less developed,
accounting for just 5% of the total UK heating market. However, the
UK UFH market saw high growth in the early part of the decade,
gaining popularity in the self build and luxury sectors of the
house building market in particular. Towards the end of 2007 the
market started to experience the first effects of the ‘credit
crunch’ as consumer confidence fell and interest rates started to
increase.
The
market has seen only a small decline in 2008 in response to the
economic conditions, with similar performance expected in 2009, and
has continued to outperform the overall construction market.
The
economic downturn has particularly affected the housing market
which has led to the non domestic UFH sector gaining market share.
The public sector, notably health and education, is the dominant
user within this area and is likely to sustain the market through
the short to medium term.
|
Towards the end of 2010 and into 2011, it is hoped that
the economic situation will start to improve. UFH is still a relatively
new market and if it is able to penetrate the mass domestic market and
gain share in the industrial and commercial sectors there is no reason
that we wouldn’t see a return to the high levels of growth seen at the
start of the decade.
The UFH supply chain remains fragmented and is
characterised by a large number of suppliers. In the current market, the
market leaders mainly consist of subsidiaries of international heating
companies who design, supply and install UFH. For example, Uponor and
Devi are widely viewed as market leaders and are part of international
groups. The contracting market has developed in recent years, with
manufacturers offering training schemes to allow this to continue. It is
anticipated that most manufacturers and suppliers will eventually end
their involvement in installation.
Distribution remains dominated by direct supply. There has
been a shift towards distribution via retailers and merchants,
particularly in the domestic sector where installation and design is
relatively standard. A number of the major merchants are active in the
heating sector but are not heavily involved in distribution in this
market, although if there is increased adoption of underfloor heating by
national housebuilders there is likely to be a greater supply through
builders’ merchants. The DIY multiples and tile and flooring specialists
are now more involved in the distribution of UFH, with most companies
stocking a limited range of products. |
