The cost of steel in construction has escalated dramatically in the last year. To give you an idea, for a budget i would have used £1,100 per tonne for a steel frame building, whereas this year i would be looking at £1,500 per tonne. Typically inflation in construction i.e. the rate at which tender prices rise is about 4-6% per annum, steel has risen by 36% in the last year!. I have been involved with two schemes in the last year where a concrete frame has been considered instead of steel to minimise the cost uncertainty and reduce the lead in period.
(motoring link) so scrap cars actually being worth something isn't a surprise to me.
But if the bottom of the heap i.e. the cars that previously were worthless because you had to pay to scrap them are now worth something, how ong will £20 Mondeo's be around?
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