Construction Cost Index for buildings, September 2022
Construction Cost Index rose by 14,6 percent in September on an annual basis
Statistical news from Statistics Sweden 2022-10-17 8.00
The Construction Cost Index for multi-dwelling buildings increased by 1.2 percent in September 2022 compared with August 2022. The annual rate of change in the Construction Cost Index was 14.6 percent in September, compared with the corresponding month in 2021, up from 13.8 percent in August.
In brief
- Higher interest costs contributed to the Construction clients’ costs increasing by 4.8 percent compared with the previous month.
- The annual changes for costs of electricity and diesel oil remained high.
- The annual changes for costs of reinforcement steel, iron and steel, including reinforcement steel and floor material remained high.
| Index | Change in percent | |||
|---|---|---|---|---|
| September | August 2022– September 2022 |
September 2021– September 2022 |
||
| Contractors' costs (82%) | 136.7 | 0.4 | 12.0 | |
| Construction clients' costs (18%) | 147.9 | 4.8 | 27.0 | |
| Total Construction cost index (100%) | 138.7 | 1.2 | 14.6 | |
Changes in the last month
The Construction Cost Index for multi-dwelling buildings increased by 1.2 percent between August and September 2022. In the corresponding period in 2021, the Construction Cost Index increased by 0.5 percent.
Contractors’ costs increased by 0.4 percent, while construction clients’ costs increased by 4.8 percent. These two groups accounted for 82 percent and 18 percent, respectively, of the Construction Cost Index.
Contractors’ costs for machinery increased the most, by 3.8 percent. Contractors’ overhead costs increased by 0.7 percent, while costs for wages and salaries and costs in the group ‘transport, fuel and electricity’remained unchanged.
Contractors’ costs for building materials increased by 0.2 percent. The costs of plumbing material and floor material increased the most, by 2.9 percent and 2.0 percent respectively, while costs for electric material, other building materials, reinforcement steel, iron and steel, including reinforcement steel, white goods, material for painting and concrete products decreased.
Construction clients’ costs consist of interest and credit costs, costs for plans, and central administration. Interest costs increased by 12.2 percent. Other construction clients’ costs rose slightly or remained unchanged.
Changes in the last year
The Construction Cost Index for multi-dwelling buildings increased by 14.6 percent between September 2021 and September 2022. During 2022, the annual rate of change increased continuously until July 2022 but decreased during August 2022 and then increased again during September 2022.
Contractors’ costs rose by 12.0 percent, which led to an upward contribution to the Construction Cost Index of 9.9 percentage points. Construction clients’ costs increased by 27.0 percent, which led to an upward contribution to the Construction Cost Index of 4.7 percentage points. The increase of the construction clients’ costs was mainly due to higher interest costs. Interest costs increased by 85.5 percent.
Contractors’ costs in the group ‘transport, fuel and electricity’ increased by 26.4 percent between September 2021 and September 2022. Within that group, the cost of electricity and diesel oil rose the most, by 68.9 percent and 39.0 percent respectively. Contractors’ costs for machinery and overhead costs increased by 11.7 percent and 6.1 percent respectively, while costs for wages and salaries rose by 2.3 percent.
Contractors’ costs of building materials increased by 17.8 percent between September 2021 and September 2022. All costs in the building material groups rose, with the exception of wood procucts which decreased by 1.5 percent. The costs of reinforcement steel increased the most, by 43.1 percent. The cost of floor material continued to increase in 2022 and were 27.7 percent between September 2021 and September 2022.
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 2022– September 2022 |
September 2021– September 2022 |
||
| Reinforcement steel | +0.2 | +43.1 | |
| Iron and steel* | ‑0.3 | +29.1 | |
| Floor material | +2.0 | +27.7 | |
| Electric material | ‑0.8 | +21.4 | |
| Other building materials** | ‑0.8 | +20.0 | |
| Concrete products | ‑0.1 | +15.8 | |
| Woodwork | +0.8 | +14.9 | |
| White goods | ‑0.1 | +12.9 | |
| Plumbing material | +2.9 | +12.1 | |
| Material for painting | ‑0.3 | +8.7 | |
| Wood products | ‑0.0 | ‑1.5 | |
| Total building materials | +0.2 | +17.8 | |
* Includes reinforcement steel. ** Includes materials for thermal insulation, garbage equipment, gypsum and wood-based boards.
Construction Cost Index for multi-dwelling buildings, excl. VAT
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
2022-11-15 08:00.
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