Labour vow in tatters as UKs 139-year-old handmade brick factory shuts | UK | News
A British brickmaker is closing a factory that has been producing handmade red bricks for 139 years as housebuilding levels collapse and the economic fallout from the war in Iran squeezes the construction industry.
The Express understands Michelmersh Brick Holdings has said it will close its Charnwood Factory in Shepshed, Leicestershire, by the end of this month, which will result in the loss of 28 jobs. Declining orders for construction materials were a direct trigger for this; Michelmersh stated that a “lack of trust” among consumers has put the brakes on construction projects across the country.
Why is Charnwood brickworks closing?
Across the industry as a whole, the volume of bricks leaving factories in the first quarter of 2026 was around 10 percent lower than in the equivalent period in 2025, according to figures reported by Michelmersh.
Why is housebuilding in the UK at a 12-year low?
Government data published last autumn showed that new house construction in England fell to its lowest level in 12 years, The Telegraph reported; This was an uncomfortable environment for the Labor administration, which had promised 1.5 million new homes by the end of the decade. Builders have been reining in development plans in recent months due to rising costs caused by the Iran war.
The property dates back to 1887, when it first opened under the name Charnwood Forest Brick and came into the ownership of Michelmersh in 1999, more than a century later. The company said it would consolidate its manufacturing operations at its other site in Romsey, Hampshire, where it is expanding production of machine-made brick panels and building products. Michelmersh is also considering the future of the Charnwood property, including a potential sale.
Michelmersh’s chairman, Tony Morris, said the company was “seeking the appropriate balance between production volumes and customer demand expectations”. [and was] “We constantly review the tempo of our production operations.”
He added: “We are grateful to the Charnwood team for their service over many years and will leave Michelmersh with our sincere thanks for all their efforts on behalf of the group.”
How bad is the brick manufacturing industry doing?
The closure comes as the wider industry faces increasing pressure. Ibstock, the UK’s largest brickmaker, reported an 11 per cent drop in domestic brick market volumes in the first quarter of the year.
Chief executive Joe Hudson reportedly warned that high energy and fuel prices were driving cost inflation “likely to continue into the second half of the year”, saying the industry was struggling with both weak consumer confidence and the economic fallout of the Iran war.
Builders across the country are also preparing contingency plans for rising material costs. In April, Britain’s largest housebuilder, Barratt Redrow, said it was considering switching to more timber construction if brick and other traditional heavy materials became prohibitively expensive.
