Focus on the positives
Looking at the broader picture for business confidence in the UK, the headlines suggest another challenging year ahead.
Quarterly research from the British Chambers of Commerce, canvassing more than 4,600 businesses across the UK, found that only 46% of companies expected an increase in sales in 2026, reportedly the lowest level in three years. May companies are said to be cutting investment in reaction to higher tax and increasing labour costs.
A survey by Make UK also highlighted that British manufacturers are close to ‘tipping point’, with around two thirds of manufacturers identifying growing costs, including for employment and energy, as a major risk over the next 12 months.
Unemployment is currently at a four-year high of 5.1% and could reach 5.5% according to some economists.
Is that pessimistic outlook reflected in the glass and glazing industry? While many companies will also be looking closely at how to manage higher costs, there are some positive signs on the horizon, not least of which is the forecast of cuts to interest rates, starting in March.
If analysts are correct, interest rates could be down to 3.5% by June and as low as 3% by year end. Inflation could also drop to 2.35% by the end of 2026.
If this is the case, and consumer confidence improves, then there’s a good chance it will translate into much needed orders for new windows, doors and conservatories.
Also in this week’s newsletter, Ian Clayton, interim managing director of Reynaers Aluminium UK, says that while challenges remain for the industry, the pledge from the Building Safety Regulator to speed up approval on projects currently stalled at Gateway 2, offers renewed optimism for 2026 – a outlook that’s backed by a forecasted 8% rise in project starts from construction market analyst, Glenigan.
Ian says that performance standards and technical support will be key to making the most of opportunities in the commercial sector, explaining how a commitment to safety, traceability, competence and collaboration means Reynaers is particularly well placed to support stakeholders.
You can read his comment in full here.