Cost update: December 2003 | Features

Typical selected rates
	Unit	Low rate £	Mean rate £	High rate £
Excavate trenches; not exceeding 3 m wide; not exceeding 2 m deep	m³	6.75	7.25	10
Disposal off site	m³	10.5	15	16.50
Hardcore filling; exceeding 250 mm thick	m³	20	22.75	27
Plain insitu concrete in foundations	m³	72	77	81
Reinforced insitu concrete in beds not exceeding 150 mm	m³	77	85	90
Formwork to foundations 250-500 mm	m	14	14.5	22
Mesh fabric reinforcement A193 (32 kg/m^2⁾	m²	2	3	3.7
Medium quality facing bricks in half brick wall	m²	41	43	50
100 mm lightweight aggregate blockwork	m²	17	21	25
140 mm lightweight aggregate blockwork	m²	21.5	25	30
Structural steelwork – universal beams	t	715	750	900
50 × 100 mm sawn softwood floor members	m	3.3	3.65	4
13 mm hardwall plaster to walls	m²	8.5	9.25	11
One mist and two coats of emulsion paint to plastered surfaces	m²	2	2.2	3.6
100 mm vitrified clay drainage pipe	m	4.5	6.5	7.5

Key indicators
	Percentage change over past 6 months (April to Oct 2003)	Percentage change over past 12 months (Oct 2002 to Oct 2003)
Retail Prices
Index headline rate (RPI)	+0.8	+2.6
All items excluding mortgage interest payments (RPIX) – government’s target index	+0.7	+2.7
All items excluding mortgage interest payments and indirect taxes (RPIY)	+0.8	+2.4
Harmonised index of consumer prices (HICP)	+0.6	+1.4
Industry generally
Materials and fuels purchased by manufacturing industry	+1.3	+1.8
of which materials	+1.5	+2.2
of which fuel	–2.2	–2.6
Materials and fuels purchased by manufacturing industry excluding food, beverages, tobacco and petroleum industries	–1.1	+0.4
Output prices of manufactured products	+0.2	+1.4
Output prices of manufactured products excluding food, beverages, tobacco and petroleum	+0.3	+1.3
Construction industry
Construction materials	+0.9*	+2.9**
Housebuilding materials	+0.9*	+2.6**
Machinery and equipment (UK manufacture)	+0.5	+0.3
Electrical machinery and apparatus (UK manufacture)	+0.2	+0.3
Source: Office for National Statistics (October 2003 figures provisional)
* April to September 2003 (DTI figures) ** September 2002 to September 2003 (DTI figures)
Notes: The Office of National Statistics category of “machinery and equipment” includes mechanical engineering items such as pumps, taps, valves, lifts, cooling and ventilation equipment. “Electrical machinery and apparatus” includes electrical engineering materials such as electricity distribution and control apparatus, wires and cables and lighting equipment.

New earnings survey
The Office for National Statistics has published the results of its annual spot survey of earnings in Great Britain. The survey is taken in April each year. The following table shows average gross hourly earnings (including overtime pay and hours) of full-time males on adult rates for operatives in the construction industry from the April 2003 survey:
	£ per hour	% increase
		2002/03
civil engineers	15.46	6.3
mechanical engineers	15.79	3.1
electrical engineers	16.14	1.6
architects	18.91	4.4
quantity surveyors	15.09	8.6
electricians, electrical fitters	11.22	3.6
steel erectors	9.94	8.3
bricklayers, masons	9.09	8.4
plumbers, heating and ventilating engineers	10.62	4.4
carpenters and joiners	9.24	7.7
glaziers, window fabricators and fitters	7.77	8.6
floorers and wall tilers	8.70	1.0
painters and decorators	8.87	7.5
scaffolders, stagers and riggers	10.22	9.1
road construction operatives	9.05	7.3
rail construction and maintenance operatives	10.65	4.7
labourers in building and woodworking trades	7.73	5.0
Of the professions, quantity surveyors are the lowest paid but received the largest percentage increase this year. Of the skilled trades, the biggest increases were received by those trades generally regarded as being in the shortest supply i.e. scaffolders, bricklayers and carpenters. Steel erectors also received a substantial wage increase, following their national wage agreement.

Heating and ventilating wage rates
On 3 November 2003, the first part of a new three-year agreement for the Heating, Ventilating, Air Conditioning and Domestic Engineering Industry was agreed, raising basic rates and responsibility allowances about 3.5%.
The previous and new rates are summarised as follows:
	7 October 2002 £p/hr	3 November 2003 £p/hr
foreman	11.61	12.02
senior craftsman	9.60	9.93
craftsman	8.80	9.11
operative	7.98	8.26
adult trainee	6.72	6.96
mate (over 18)	6.72	6.96
mate (17-18)	4.32	4.47
mate (up to 17)	3.12	3.23
Modern Apprentices junior	4.38	4.53
intermediate	6.18	6.40
senior	7.98	8.26
Responsibility allowances
Craftsmen
second welding skill or supervisory responsibility (one unit)	0.40	0.41
second welding skill and supervisory responsibility (two units)	0.80	0.82
Senior craftsmen
second welding skill	0.40	0.41
supervising responsibility	0.80	0.82
second welding skill and supervisory responsibility	1.20	1.23
Note: Travelling allowances have also increased by the same percentage. Abnormal conditions money remains at £2.99 per day. Lodging allowances have increased 2.9% and will be paid at £26.50 per night from 3 November 2003.