AMA Research: multi-branch companies tighten grip of tool market

Multi-branch companies are tightening their hold on the tool hire market, and builders’ merchants are increasing their market share at the expense of small hire companies, according to the latest survey by AMA Research.

The survey, the seventh undertaken by AMA, values the UK’s tool hire industry at £893m in 2007. Factors like severe flooding and government expenditure on health and education boosted growth last year and AMA predicts market will grow to £1.1bn by 2012 although it said short-term prospects are uncertain due to the current turbulence in world financial markets.

It found that 69% of this market was taken by multi-branch organisations with builders merchants increasing its share to 22% leaving smaller hire companies with a diminished 9%.

Copies of the report are available from AMA for £625 either as hard copies or in an electronic form.