Only 6% of plumbing and heating firms are optimistic about the UK’s economic outlook, the Q3 2025 State of Trade report from the Plumbing and Heating Federation (SNIPEF) found.
Pessimism meanwhile has climbed to 64%, up from 46% a year ago – reflecting anxieties around the upcoming Autumn Budget announcement on November 26.
There are fears the Labour Party could raise income tax, after previously raising employer National Insurance contributions last year. There could also be a Mansion Tax, a 1% levy on properties worth over £2 million.
Fiona Hodgson, chief executive of SNIPEF, said: “When people are unsure about their disposable income, they delay spending on planned home upgrades and essential maintenance.
“That has a direct impact on our members, many of whom work in domestic settings and rely on customer confidence. The profession is doing its part to stay resilient, but the government must now do its part to support it.
“We need a Budget that backs working people, builds business confidence and invests in the skilled workforce that will drive recovery. Without it, we risk pushing stability further out of reach.”
Trading activity in Q3 improved, with 37% of firms saying they were busier than expected.
Forward order books have also strengthened, with 32% reporting higher or much higher workloads over the next six months. This is a significant rise from 17% in Q2 and 18% in Q3 2024.
Hodgson added: “Although I am relieved to see confidence in our industry has remained relatively steady over the last quarter, the collapse in optimism for the wider UK economy is striking.
“It reflects a deeper malaise being felt across construction, especially in housebuilding, where repeated government promises of a renaissance have yet to materialise.”