Regrettably, we find ourselves in a position where we can no longer absorb the rising costs we have encountered since our last price adjustment a year ago.

Although the cost of our core materials has stabilised since the previous adjustment, the reductions we had hoped for have not materialised. Despite significant efforts from our procurement team to drive improvements – including supplier tenders and consolidation – any savings achieved have merely offset rising costs elsewhere in the business, such as inflation-linked costs, insurance, maintenance, and increases in labour expenses.

As you are likely aware, the recent budget has introduced further financial pressures on employers. In particular, the increase in National Insurance and the above-inflation rise in the minimum wage have had a notable impact on our operating costs. While only a small proportion of our workforce is paid at the minimum wage level, we operate a skills-based pay structure. An increase at the lowest level necessitates proportionate adjustments across other bands to recognise skills and training, which is a critical part of our strategy for staff development and retention.

In addition to these pressures, our key material suppliers have started to notify us of price increases tied to employment cost rises. These increases are likely to take effect with the new tax year, and we have factored them into our calculations. Unfortunately, we cannot absorb these costs within our margins, and as part of our commitment to our customers we are providing you with as much notice as possible of a price adjustment.

Taking all of these factors into account, we will be implementing a 3.8% price increase across all products, effective from Tuesday, 1st April. We anticipate that you will reflect this adjustment in your pricing to your own customers to ensure that your own margins are preserved.

To support you and your business with us, instead of having multiple price increases over the first quarter of the year we have decided to absorb some supplier increases until the 1st of April to make pricing simpler. The following price increases will also come into effect on the 1st of April.

Thank you for your understanding and continued support.

Yours Sincerely,

Tom Dalton

Sales Director 

*We previously wrote to you regarding the PWS price increase and stated this would come into effect on the 1st of March. Please take this letter as notice that we will be extending this until the 1st of April.