Anyone planning to build a home today is facing a difficult mix of rising costs, longer lead times and uncertainty around key materials.
Cement, the backbone of foundations, walls and floors, is now at the centre of this challenge.
New figures from the Mineral Products Association (MPA) shows UK production has sunk to levels not seen since the 1950s, raising questions about whether domestic supply can keep up with demand for new housing and what’s being done to change course.
Cement production hits lowest recorded levels
In 2024, the UK produced 7.3 million tonnes of cement – the lowest figure since records began in 1950 and less than half the 16 million tonnes made in 1990.
At the same time, demand indicators are also down: sales of ready-mixed concrete fell to just 2.7 million cubic metres in the second quarter of 2025, the weakest quarter since 1963.
For context, building a traditional four-bedroom family house requires around three to five tonnes of cement, according to the MPA.
If domestic output continues to slide, more projects will depend on imports, making building materials costs less predictable for homebuilders.
Why has cement production fallen?
Producers and industry bodies, such as Make UK, blame high industrial energy costs, which are among the highest in Europe, and tougher carbon taxes that don’t apply equally to imports.
Imports have already climbed from 12% of sales in 2008 to 32% in 2024, according to the MPA, leaving the sector exposed to international price swings.
Breedon Group (a leading producer of raw materials) boss Rob Wood said the figures reflect “a generation of underinvestment in housing and infrastructure” and should be “ringing alarm bells” for policymakers.
Will cement production improve – and can housing targets be met?
Change is unlikely overnight, but steps are being taken to support the industry. A Carbon Border Adjustment Mechanism (CBAM) is planned for 2027, which will put carbon costs on imports and give UK producers a fairer footing.
The Mineral Products Association is also pressing for government contracts to favour domestically made cement.
At the same time, innovation is underway. Trials funded by Innovate UK are testing low-carbon cements, such as LC3 cement and cement-free concretes, which could cut embodied carbon by 20–40% if scaled up.
For now, though, high energy bills and volatile imports mean higher costs and possible delays for builders.
The outlook is mixed: housing targets are at risk if domestic output stays weak, but with policy support and new technology, supply could stabilise, keeping long-term housing plans on track.
