1. **Problem statement:** The price of softwood was £34 per metre square seven years ago. It decreased by 2% per annum for the 2 years before the last 5 years. Then it increased by 6% per annum for each of the last 5 years. We need to find the current price of softwood. 2. **Calculating the price after 2 years of decrease:** The annual decrease is 2%, so each year the price is multiplied by $1 - 0.02 = 0.98$. After 2 years, the price is $$34 \times 0.98^2 = 34 \times 0.9604 = 32.6536.$$ 3. **Calculating the price after 5 years of increase:** The annual increase is 6%, so each year the price is multiplied by $1 + 0.06 = 1.06$. After 5 years, the price is $$32.6536 \times 1.06^5 = 32.6536 \times 1.3382255776 = 43.705.$$ 4. **Final answer:** The current price of softwood is approximately **43.71** per metre square.