According to research by the Federation of Master Builders (FMB), small- and medium-sized enterprises (SMEs) have reported a 22% increase in Spanish slate and 20% rise in timber costs.

The FMB believes that a quarter of all construction materials used in the UK are imported.

Sarah McMonagle, director of external affairs at the FMB, said: “Thousands of smaller building firms are grappling with the rising cost of materials caused by the depreciation of sterling since the EU referendum.

“The combined pressure of higher material prices and the rising cost of skilled labour represents a serious challenge to builders.

“What this means is that homeowners could start to see the cost of their building projects increase.

“It also means that consumer choice may be reduced as some homeowners face having to compromise on aspects of their project due to the fact that certain materials have become too expensive.

“There is also an added headache for the builder, as material price rises can come at short notice and if they are mid-project, the original costing is no longer accurate.

“This makes pricing jobs problematic and leads to construction SMEs having to cover themselves against sudden price swings.

“Some builders are attempting to mitigate this by introducing larger contingency funds when pricing for a job, or by stipulating in the contract that the overall contract price will change in the case of material price hikes, making client budgeting more tricky.”

This news follows the latest release of Office for National Statistics data, which found that construction output fell by 0.2% in the month of November 2016 compared with the previous month.