Maintenance costs set to rise

Property Management

ISSN: 0263-7472

Article publication date: 1 May 2000

Citation

(2000), "Maintenance costs set to rise", Property Management, Vol. 18 No. 2. https://doi.org/10.1108/pm.2000.11318bab.013

Publisher

:

Emerald Group Publishing Limited

Copyright © 2000, MCB UP Limited


Maintenance costs set to rise

Inflation in maintenance costs is set to rise, according to a recent report from BMI published in the BMI Quarterlly Cost Briefing of Building Maintenance Costs, available as part of the BMI subscription service, or individually priced at £65.00 each, from BMI, 12 Great George Street, Parliament Square, London SWIP 3AD. Continued above inflation wage increases and steadying materials costs will push maintenance cost rises to almost twice their current rate.

Maintenance costs rose 2.3 per cent in the year to second quarter 1999. The annual round of pay awards in most sectors has been the major factor in increasing prices but this has been offset by falling materials prices. The BMI forecast is for maintenance costs to rise by 3.8 per cent over the next 12 months from second quarter 1999 to second quarter 2000 (Table I). The BMI Index monitors the change in input costs (labour and materials) of carrying out maintenance.

Table I. BMI maintenance cost forecast