Home > Statistics > Building and dwelling production > 2019 > December > Cubic volume of granted building permits decreased in the latter part of the year

Published: 25 February 2020

Cubic volume of granted building permits decreased in the latter part of the year

According to Statistics Finland, in the last quarter of 2019, building permits were granted for a total of 8.2 million cubic metres, which is 17.7 per cent less than one year ago. The cubic volume covered by permits decreased considerably for all building types. The cubic volume decreased most in building permits granted for construction of commercial and office buildings, industrial and warehouse buildings and residential building construction.

Granted building permits and building starts, mil. m3, moving annual total

Cubic volume granted for residential building construction decreased

In October to December, cubic metres covered by permits for residential buildings amounted to 2.6 million, while the corresponding figure one year earlier was 3.1 million cubic metres. The decrease was 16.1 per cent from the previous year. In residential construction building, the cubic volume granted for residential blocks of flats fell by 12.5 per cent from one year back. The cubic volume for terraced houses declined by 25.6 per cent and that of detached houses by 21.9 per cent.

During the last quarter of the year, building permits were granted in total for 8,896 dwellings, the number falling by 17.0 per cent from the previous year.

Volume of building production decreased further

The volume, or the constant-price value of ongoing building production, decreased by 3.4 per cent in the last quarter of 2019 from the year before. The volume of construction of residential buildings declined in the period by 9.2 per cent and that of other than residential building construction, in turn, increased by 1.9 per cent. Measured by volume, 7.1 per cent more building projects than one year earlier were started in the same period. The number of residential building starts was 10.7 per cent higher than one year ago.

Volume index of newbuilding 2010=100, trend

Decrease in granted building permits continued in 2019

In 2019, the number of building permits granted for building projects totalled around 28,700 and the volume was 40.2 million cubic metres. The cubic volume decreased by 4.3 per cent from the previous year. The corresponding figures for the previous year were around 32,300 projects and 42.0 million cubic metres. For residential building construction, the cubic volume of granted building permits decreased by 12.6 per cent from the previous year. The cubic volume for detached houses declined most, by 13.0 per cent. The cubic volume for residential blocks of flats decreased by 12.4 per cent, while the corresponding figure for terraced houses was 11.9 per cent.

In 2019, building permits were granted for slightly over 37,400 dwellings, which was 14.3 per cent less than one year earlier. In 2018, building permits were granted for good 43,600 dwellings. The highest number measured since 1995 during the history of the current statistics was in 2017, slightly under 49,100 dwellings.

Examined by type of building, the cubic volume granted for residential building construction decreased most, by 12.6 per cent. Construction of commercial and office buildings decreased by 1.5 per cent and construction of industrial and warehouse buildings by 3.6 per cent. The cubic volume of public service buildings continued to grow; the growth was 14.1 per cent from 2018.

The new classification of buildings 2018 will be adopted in the statistics on building and dwelling production starting from the data on January 2020. With the review, publication of data according to the classification of buildings 1994 will be discontinued.

Source: Building and dwelling production, Statistics Finland

Inquiries: Paavo Kokkonen 029 551 3028, Merja Järvinen 029 551 2458, Petri Kettunen 029 551 3558, rakennus.suhdanne@stat.fi

Director in charge: Mari Ylä-Jarkko

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Updated 25.2.2020