Concrete prices in Guernsey are significantly higher than in the UK – but there is no evidence competition laws have been broken, a review says.
The Guernsey Competition and Regulatory Authority (GCRA) said it carried out the study following concerns from the Committee for Economic Development about rising constructions costs.
GCRA said the review focused on Ronez, Guernsey’s only supplier of ready-mix concrete, found prices reflected structural realities and costs of operating in a small island market rather than anti-competitive behaviour. It added no enforcement action was required.
Ronez said it welcomed the conclusion, adding increases were the realities of operating on an island.
Construction costs affect everyone from homebuyers and businesses to taxpayers funding public projects, GCRA said.
It said the findings offered strong evidence to help policymakers and industry consider how outcomes could be improved over time.
GCRA added Ronez’s profitability had been consistently strong in recent years, especially in the ready-mix concrete market.