Irish building imports from Britain up 152% on weaker sterling
British goods and services currently regarded as a ‘bargain’ by Irish builders
Irish builders are using sterling’s weakness to buy materials from the UK
Irish builders are capitalising on sterling’s weakness following last June’s Brexit vote by cranking up imports of materials and services from the UK, according to a new study.
The corporate payments arm of Kerry-based financial group Fexco has released an analysis of about 1,300 transactions by builders made through its payments system in the first five months of the year.
It found that imports from the UK by the Irish construction industry increased by 152 per cent over the same period the previous year.
The volume of transactions rose 13.5 per cent, with the average value of each transaction more than doubling to €12,382.
Fexco speculated that “the primary driver behind the spike in imports is likely to be Irish builders’ desire to capitalise on the weak pound”, while it also cited spiralling construction costs in Dublin relative to other European cities.
“Compared to this time last year, British goods and services are a bargain for Irish builders – but also an attractive way to offset rising cost pressures at home,” said David Lamb, head of dealing at Fexco Corporate Payments.