Material Prices Increased 20% Since Your Quote: What Now?
Copper pipe up 25%. Customer approved your quote 6 weeks ago. How to handle material price increases without losing the job or your margin.
You quoted £3,200 for a bathroom refit in September. Customer approved it in October. Scheduled for January. You order materials in December.
Copper pipe: up 22%. Shower valve: up 18%. Tiles: up 12%. Your material costs just jumped from £1,400 to £1,720.
Honour the old quote and lose £320 profit? Tell the customer prices increased and risk losing the job? This guide shows you how to handle it.
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Prevention: Quote Validity Period (Do This First)
The best way to handle price increases is to prevent the problem. Every quote needs an expiry date.
Standard Quote Validity Periods by Job Type
Small Jobs (Under £500)
30 days validity. Quick turnaround, minimal material risk.
Medium Jobs (£500-£5,000)
60 days validity. Allows customer time to budget, limits your exposure.
Large Jobs (Over £5,000)
90 days validity with material escalation clause (explained below).
How to State Validity Period on Quotes
Quote Footer Text (Copy This)
This quote is valid for 60 days from the date issued.
Material prices are subject to change. Quotes accepted after the validity period will be re-priced based on current supplier costs.
To secure this price, please accept the quote and pay the deposit by [specific date].
The Material Escalation Clause (For Large Jobs)
For jobs over £5,000 or long lead times, include this clause in your terms:
Material Escalation Clause Template
Material Price Adjustment:
If material costs increase by more than 10% between quote acceptance and job commencement, we reserve the right to adjust the quote accordingly. You will be notified of any price changes before work begins.
This protects both parties from significant market fluctuations beyond our control.
Real-world use: Commercial jobs, new builds, projects with 3+ month lead times. Sets expectations upfront.
Situation 1: Prices Up, Quote Still Valid
Quote dated 4 weeks ago, validity period is 60 days, materials up 8%. What to do?
Decision Framework: Absorb, Split, or Pass Through
Absorb (Price increase under 5%)
Eat the cost. Maintain customer relationship. Still profitable.
Example: £1,400 materials, 4% increase = £56 loss. Worth it for repeat customer or good review.
Split (Price increase 5-15%)
You absorb half, customer pays half. Fair compromise.
Example: £1,400 materials, 10% increase = £140 total. You absorb £70, customer pays £70.
Pass Through (Price increase over 15%)
Full cost passed to customer. Rare but necessary.
Example: £1,400 materials, 20% increase = £280. Customer pays full increase or job doesn't proceed.
Situation 2: Prices Up, Quote Expired
Quote was valid for 60 days. Customer calls on day 75 to book. Materials up 12%. Much easier conversation.
The Script: Quote Expiry Re-Pricing
"Thanks for getting back to me. I'm still available for your project. The original quote was valid for 60 days from [date], so I'll need to re-price it based on current material costs."
"Material prices have increased since September. Let me get updated supplier pricing and send you a revised quote within 24 hours. It'll be close to the original but will reflect current costs."
Why it works: References the validity period they agreed to, sets expectation of price change, offers quick turnaround.
Customer psychology: They know they waited too long. They expect some increase. Most accept 10-15% re-pricing without pushback.
The Price Increase Notification Script
When you need to notify customer of price increase within validity period (using escalation clause or split approach):
"I wanted to let you know before I order materials: copper prices have increased 22% since I quoted your job in September. My supplier invoices show the increase."
"I can absorb some of this, but I need to pass through half to keep the job viable. That's an additional £140 on the total - bringing it from £3,200 to £3,340."
"I'm booking material orders this week. Can I get your approval on the revised price by Friday so I can lock in current costs?"
Why it works: Transparency with proof, fair split, urgency to lock in price.
Proof: Show Them Supplier Invoices
Include with your notification:
- • Screenshot of September supplier price list
- • Screenshot of current December supplier price list
- • Highlighted items showing percentage increase
- • Simple calculation showing old vs new material cost
Impact: Removes all doubt. Customer sees you're not padding numbers. 85% accept the increase immediately.
When Customers Push Back
Objection 1: "You quoted £3,200, that's the price"
Response:
"I understand your position. The quote was valid for 60 days, and we're now 85 days from the quote date. Material costs are beyond my control - my supplier invoices show the increase. I'm absorbing half the increase myself, which is fair given the circumstances. I'm happy to walk you through the supplier pricing if that helps."
Objection 2: "Other trades aren't increasing prices"
Response:
"Either they quoted more recently than I did, or they're absorbing the full increase themselves. I'm happy to match a like-for-like quote from another trade if you have one, but I can't work at a loss."
Objection 3: "Can't you just use cheaper materials?"
Response:
"The materials I quoted are the quality standard for this type of work. I can re-quote with budget alternatives, but it'll affect longevity and warranty. Would you like me to price a value-engineered version?"
When to Eat the Cost (Relationship Value)
Sometimes absorbing the increase is the smart business move:
Absorb Full Increase If:
- Long-term customer: 3+ years relationship, regular work, always pays on time
- Referral source: Customer sends you 2-3 jobs per year from their network
- First job for commercial client: £140 loss to win £20k annual account
- Your fault: You delayed the job, not customer. Eat the cost.
- Small increase on large job: £80 increase on £12,000 job. Rounding error.
Frame it: "Material costs went up, but you're a valued customer so I've absorbed the increase. Your price stays at £3,200."
Quote Validity Best Practices
1. Always Include Date Issued
Quote header: Issued: 15 September 2025 | Valid Until: 15 November 2025
2. Send Reminder Before Expiry
7 Days Before Expiry Email:
"Hi [name], your quote for [job] expires in 7 days (15 November). Material prices are rising, so if you'd like to lock in this price, please accept the quote and pay the deposit by Friday. After the expiry date, I'll need to re-price based on current costs."
Impact: Creates urgency. Converts 40% of pending quotes that would otherwise expire.
3. Require Deposit to Lock Price
- Quote accepted = deposit paid - Not just "yes I'll do it"
- Deposit locks the price - No re-pricing after deposit received
- No deposit = quote still open to expiry - Price not guaranteed
Real Example: The £380 Copper Price Spike
Case Study: Plumber During 2024 Copper Spike
Situation:
Plumber quoted £4,500 for heating system replacement in July 2024. Customer approved in August but delayed start to October. Copper pipe prices spiked 28% in September.
Material cost increase: £1,200 → £1,536 (£336 increase)
What plumber did:
- • Called customer in early September when spike started
- • Explained copper market volatility, showed supplier invoices
- • Offered to start job immediately at original quote if customer paid deposit that week
- • Customer couldn't start early, agreed to split the increase 60/40 (customer pays 60%)
- • Customer paid £200 extra, plumber absorbed £136
Result: Job proceeded, customer appreciated early warning and fair split, left 5-star review mentioning plumber's honesty about pricing.
The Bottom Line
Material price increases are real. Your suppliers pass them to you. You need to pass them to customers or absorb them strategically.
Every quote needs a validity period. 30/60/90 days depending on job size. State it clearly. Enforce it fairly.
For increases under 5%, absorb it. For 5-15%, split it. Over 15%, pass it through with proof.
Transparency wins. Show supplier invoices. Explain the increase. Offer fair solutions. Good customers understand market realities.
A quote without an expiry date is a promise to absorb unlimited price increases. Don't make that promise.
Launch your 2026 price increase inside Toolfy
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