Construction Cost Index for buildings, September 2023
The annual rate for the Construction Cost Index decreased to 7.5 percent in September
Statistical news from Statistics Sweden 2023-10-16 8.00
The Construction Cost Index for multi-dwelling buildings decreased by 0.2 percent in September 2023 compared with August 2023. The annual rate of change in the Construction Cost Index was 7.5 percent in September, compared with the corresponding month in 2022, down from 9.0 percent in August.
In brief
- The annual rate of the Construction Cost Index decreased in September 2023.
- The costs of diesel oil increased by 7.5 percent in September 2023 compared with August 2023.
- The annual rate for costs of reinforcement steel, wood products and iron and steel including reinforcement steel continues to fall.
| Index | Change in percent | |||
|---|---|---|---|---|
| September | August 2023– September 2023 |
September 2022– September 2023 |
||
| Contractors' costs (82%) | 140.6 | ‑0.1 | 2.7 | |
| Construction clients' costs (18%) | 188.9 | ‑0.6 | 27.7 | |
| Total Construction cost index (100%) | 149.2 | ‑0.2 | 7.5 | |
Changes in the last month
The Construction Cost Index for multi-dwelling buildings decreased by 0.2 percent between August and September 2023. In the corresponding period in 2022, the Construction Cost Index increased by 1.2 percent.
Contractors’ costs decreased by 0.1 percent, while construction clients’ costs decreased by 0.6 percent. These two groups account for 82 percent and 18 percent, respectively, of the Construction Cost Index.
Costs in the group ‘transport, fuel and electricity’ increased by 2.0 percent. The costs for diesel oil increased the most, by 7.5 percent. Contractors’ cost for wages and salaries, machinery and overhead costs remained unchanged.
Contractors’ costs for building materials decreased by 0.4 percent. The costs of electric material and woodwork decreased the most, by 2.4 percent and 1.6 percent respectively. The decrease was offset by rising costs of other building materials, material for painting, concreate and white goods, which increased by between 0.1 percent and 1.5 percent.
Construction clients’ costs consist of interest and credit costs, costs for plans, and central administration. Interest costs decreased by 1.2 percent, while the other construction clients’ costs remained unchanged.
Changes in the last year
The Construction Cost Index for multi-dwelling buildings increased by 7.5 percent between September 2022 and September 2023. The annual rate of change increased in 2022 and through February 2023, but declined thereafter until July 2023. In August 2023 the annual rate of change rose slightly but decreased again in September 2023.
Contractors’ costs rose by 2.7 percent, which led to an upward contribution to the Construction Cost Index of 2.2 percentage points. Construction clients’ costs increased by 27.7 percent, which led to an upward contribution to the Construction Cost Index of 5.3 percentage points. The increase of the construction clients’ costs was mostly due to higher interest costs by 64.0 percent.
Contractors’ costs for machinery and overhead costs increased by 9.0 percent and 4.6 percent respectively, while costs for wages and salaries rose by 4.4 percent between September 2022 and September 2023. Contractors’ costs in the group ‘transport, fuel and electricity’ increased by 2.1 percent. Within that group, the cost of transport and diesel oil increased by 6.5 percent and 3.9 percent respectively. The increase was offset by the fact that the costs of electricity decreased by 9.8.
Contractors’ costs of building materials increased by 0.7 percent between September 2022 and September 2023. All costs in the building material groups rose, with the exception of reinforcement steel and wood products which decreased by 20.6 percent and 17.5 percent respectively, as well as iron and steel including reinforcement steel which decreased by 11.3 percent. The costs of other building materials and white goods increased the most, by 9.5 percent and 8.7 percent respectively.
Construction Cost Index for multi-dwelling buildings, excl. wage drift and value-added tax.
The width of the bars represents the production factor’s weight share in percent in the calculation of the Construction Cost Index for multi-dwelling buildings. The height of the bars represents the average price development of each production factor.
| Goods | Change in percent | ||
|---|---|---|---|
| August 2023– September 2023 |
September 2022– September 2023 |
||
| Other building materials** | +1.5 | +9.5 | |
| White goods | +0.1 | +8.7 | |
| Plumbing material | ‑1.2 | +4.9 | |
| Electric material | ‑2.4 | +4.7 | |
| Woodwork | ‑1.6 | +4.4 | |
| Concrete products | +0.6 | +3.0 | |
| Material for painting | +1.2 | +2.5 | |
| Floor material | ‑0.3 | +1.9 | |
| Iron and steel* | ‑0.1 | ‑11.3 | |
| Wood products | +0.0 | ‑17.5 | |
| Reinforcement steel | ‑0.1 | ‑20.6 | |
| Total building materials | ‑0.4 | +0.7 | |
* Includes reinforcement steel. ** Includes materials for thermal insulation, garbage equipment, gypsum and wood-based boards.
Construction Cost Index for multi-dwelling buildings, excl. wage drift and value-added tax
The width of the bars represents the construction material group’s weight share in percent of all construction material in the calculation of the Construction Cost Index for multi-dwelling buildings. The height of the bars represents the average price development of each product category.
Next publishing will be
2023-11-15 08.00.
Statistical Database
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