Brick makers' construction boom

Michelmersh Brick Holdings enjoyed 13 per cent increase in turnover to £15.3 million, while operating profit almost doubled, from £1.4 million to £2.7 million.

The volume of bricks sold rose from 34 million to 36 million, meaning it outstripped production and cut the level of stock to six weeks' worth, and the company warned that the stock could not fall any further if it was to retain a "timely and reliable" service.

Chairman Eric Gadsden said: "The UK construction industry is now in a period of measured growth and the outcome of the election should provide a backdrop for this to continue.

"The brick industry has responded to the improvement in demand by increasing capacity where it can through investment and in de-mothballing those plants where this is possible.

"Imports continue to fill the gap between demand and supply although economic conditions may make this less attractive as time goes on."

Among the projects which have been delivered using Blockleys bricks was the new ITV studios at Media City in Salford, the new Humanities Building at Shrewsbury School, and the new Ercall College.

Landfill operations at the company's Shropshire operation at Hadley in Telford have ceased during the period, however, in an ongoing review of the site, and that has stripped £100,000 from its turnover figure.

The average selling price for bricks was £422 per thousand, compared to £387 per thousand last year.

It currently has a forward order book demanding 45 million bricks, suggesting that growth in the sector is set to continue.

"The board is set to respond to the opportunities to increase productivity and efficiency through investment in plant and processes," Mr Gadsden added.

Meanwhile, Michelmersh also announced a board reshuffle, with Frank Hanna and Peter Sharp becoming the co-chief executives of the business, with current incumbent Martin Warner becoming deputy chairman.