More price increases

[NormanB]

I was talking to my metal fabricator today and complaining that timber prices have risen 20/30 %.

He said some of his steel prices have doubled since last year.

Used car prices up 20%, energy costs up 25% labour costs up 8%.

We could blame Brexit if we were that way inclined.

The USA are blaming their logistics issues and price rises in materials on Brexit too. Go figure.

 

[NormanB]

In other news, in the USA construction lumber has seen recent price adjustment downwards.

 

[fhsa]

Just looked up the receipt for when my Dad bought his mini in 1960. List price ex-works £378 10/- and purchase tax an eye-watering £158 16/8
I guess the Treasury really needed the 8d

 

[Doug71]

Just spoken to Arnold Lavers.

MDF has risen 25% and going up a further 40% next month.
Quoted £ 68 plus VAT for 1 x 22mm MR sheet.

OSB has risen 60%.

I mentioned earlier in the thread that last week I paid £22.95 plus vat per sheet for 15mm MR MDF from Lavers, well seems a week makes a big difference! Today it was £22 plus vat for 6mm and just over £30 plus vat for 9mm! Out of curiosity I enquired about 22mm, that would be £61.50 plus vat but waiting for stock

 

[D_W]

In other news, in the USA construction lumber has seen recent price adjustment downwards.

this is predictable. The futures market here influences current spot price. When distribution of lumber and mill capacity caused a shortage of construction lumber (relatively - it was never really short, just a matter of adjusting the price upward to make sure it stayed in stock), the futures shot up assuming the mills wouldn't catch up. Timbermen in the woods saw nothing from it from what I heard - rather backwards. The mills were running reduced and they had nowhere to take logs and get paid.

When some slack comes back to the system, then the futures gradually decline. Spot prices always go up quickly when futures go up, but they decline more slowly when futures drop and the bottom doesn't usually come out of the futures market right away unless there's suddenly a huge surplus.

Some of the pressure treated deck parts here (neighbor is repairing parts of his deck) halved in the last month or so. Except they halved in one local box store and not the other (neighbor flips houses and has a commercial account at the store that didn't drop - he was not happy).

 

[D_W]

(OSB was extremely high here, too - approaching good quality domestic hardwood ply prices in some cases. Not sure where it is now, but $22 sheets became $56 over a short span).

 

[mikej460]

So, not a good time to be building a new workshop then...

 

[D_W]

Probably be great in a year. Especially if interest rates rise and you're buying cash.

 

[mikej460]

Makes me wonder how much timber and OSB is on the Evergreen. I've just checked prices of 4.8m lengths of 100mm x 47mm treated (studwork) against my budget and it's gone from £11.35 to £24.91 but 11mm OSB is only £2 a sheet dearer, unless for some reason I budgeted for 18mm

 

[Jonm]

Just looked up the receipt for when my Dad bought his mini in 1960. List price ex-works £378 10/- and purchase tax an eye-watering £158 16/8
I guess the Treasury really needed the 8d

Very interesting information.

That is 42% Tax, but there was no tax on servicing or repairs or insurance. In 1960 cars were very much a luxury item and attracted a high rate of purchase tax.

The current situation, (as I understand it) is that 20% vat is paid on new cars, car repairs and car servicing. If the car is sold through a dealer then 20% vat on dealer markup is paid. There is also a tax on insurance (IPT) of 12%.

Difficult to compare the two Systems and total tax take per vehicle. I suspect that overall there is not much difference.

 

[Adam W.]

100% tax on cars here in Denmark and you lot think you're over taxed. It's the land where you can buy a house cheaper than a car !

The health service is very good though, so it's worth it.

 

[Jonm]

Nearly correct - it was between July '74 & June '79 - I was having difficulty remembering there ever being a 25% rate but now I've done the research I ought to have done earlier !! (All my past comments are from memory) I recall that the STANDARD rate was never 25%, this was the 'Higher rate' which existed for the 5 years when the Standard Rate was 8% -- and even that was cut to 12½% -- I've never sold petrol or 'luxury goods' so the fact had not been retained, though undoubtedly I was aware of it at the time -- it was 40+ years ago after-all

During that 5 year period I was selling DIY goods from 2 high street shops in Coventry.

True there were two rates between July 74 and June 79. An 8% lower rate and a higher rate which varied between 12.5% and 25%.

Between Nov 74 and April 76 the rate was 25%, for the other periods it was 12.5%. So I cannot see much wrong with my statement “Between 1974 and 1976 the rates were 8% and 25%”.

 

[J-G]

True there were two rates between July 74 and June 79. An 8% lower rate and a higher rate which varied between 12.5% and 25%.

Between Nov 74 and April 76 the rate was 25%, for the other periods it was 12.5%. So I cannot see much wrong with my statement “Between 1974 and 1976 the rates were 8% and 25%”.

I need another slice of humble pie! - even though I did some research it wasn't enough

I have now found a definitive source and of course you are correct.

What is also interesting to discover is that the threshold turnover demanding VAT Registration is nearly 60% higher than it ought to be. According to on-line inflation calculators, the £5,000 threshold that was the initial figure (1973) is now worth £53,582 whereas today's registration threshold is £85k. I have to presume that this is down to the cost of administration.

In 2000 I had a turnover of £185k so well above the threshold but, being semi-retired, last year's T/O was sub £6k - but I still retain my registration getting a rebate about every other quarter

 

[Phil Pascoe]

So, not a good time to be building a new workshop then...

No. Mine's knocked on the head til next year.

 

[Jonm]

I need another slice of humble pie! - even though I did some research it wasn't enough

I have now found a definitive source and of course you are correct.

What is also interesting to discover is that the threshold turnover demanding VAT Registration is nearly 60% higher than it ought to be. According to on-line inflation calculators, the £5,000 threshold that was the initial figure (1973) is now worth £53,582 whereas today's registration threshold is £85k. I have to presume that this is down to the cost of administration.

In 2000 I had a turnover of £185k so well above the threshold but, being semi-retired, last year's T/O was sub £6k - but I still retain my registration getting a rebate about every other quarter

I think we are both being a bit nit picky, I suppose it comes from being practical where details matter. I this case, “there was a dual Vat rate of 8% and 25% sometime in the 1970,s” would be near enough.

At the time I thought that the 25% rate was excessive. Looking back, with our current standard 20% vat on virtually everything, it seems that 25% on luxury items was very moderate, given that most things were 8% rated.

 

[Thingybob]

Son just rang he was buying his 18mm mdf from b n q two weeks ago at £26 this week £37 antique furniture can now be bought from ikea imagine what an investment that will be in 100 years from now

 

[Jameshow]

Cls 3x2 £5.50 at Wickes today!

I was hoping we might build a men's shed but looking at the prices a portakabin would be much cheaper.

Cheers James

 

[deema]

Average Beer. Price. £6.57 / litre
Starbucks vente latte £4.75 / litre
unleaded petrol £1.32 / litre
Coke Cola £1 / litre (Sainsbury’)


Makes you think!

 

[Phil Pascoe]

Cls 3x2 £5.50 at Wickes today!

I was hoping we might build a men's shed but looking at the prices a portakabin would be much cheaper.

Cheers James

I bought 2 x 2.4m a few weeks ago - just short of £25. My new shed is on hold.

 

[hairy]

Cls 3x2 £5.50 at Wickes today!

I was hoping we might build a men's shed but looking at the prices a portakabin would be much cheaper.

Cheers James

Further from what I said earlier about shipping costs from China, that also means that the cost of buying a shipping ontainer has almost doubled too.