Construction - July 2006

In July, seasonally adjusted total construction output at constant prices increased by 1.4% month-on-month. In terms of year-on-year comparison, total construction output at constant prices grew by 12.2%. The planning and building control authorities granted 11 806 building permits, which was by 4.7% less year-on-year. The approximate value of permitted constructions reached CZK 32.0 billion and was up by 23.5% year-on-year.
Seasonally adjusted total construction output at constant prices increased by 1.4% month-on-month. The trend rose by 1.3% month-on-month (see Table 3).

Year-on-year, total construction output recorded a double-digit growth in the third successive month, rising in July by 12.2% at constant prices. In particular the growth of volumes of construction work on civil engineering works, especially on repair and maintenance thereof, accelerated markedly.

Construction work of contractors and subcontractors to enterprises with 20+ employees grew by 12.0% year-on-year at constant prices. Increases were registered for nearly all kinds of construction work. New construction, reconstruction and modernisation rose by 10.9% (contribution 9.3 percentage points), of which building was up by 9.3% (contribution 4.6 p. p.) and civil engineering by 13.1% (contribution 4.7 p. p.). Construction work on repair and maintenance grew by 17.4% (contribution 2.0 p. p.). A fall was registered for other work (-57.8%) only (contribution -0.7 p. p.).

Employment in construction enterprises with 20+ employees was higher by 0.1%. The average monthly nominal wage of employees increased by 8.5% year-on-year and reached CZK 20 608, the real wage rose by 5.4%. The average hourly wage increased by 7.0% year-on-year and stood at CZK 150. Labour productivity per employee was up by 11.9% and labour productivity per hour worked grew by 10.3%. Unit wage costs dropped by 3.0%.

The planning and building control authorities granted 11 806 building permits in July 2006 (of which 6 010 for new constructions and 5 796 for renewals and enhancements). The number of building permits granted decreased by 4.7% year-on-year.

The approximate value of constructions permitted in July 2006 reached CZK 32.0 billion (of which new constructions made up CZK 17.4 billion and renewals and enhancements CZK 14.6 billion). Compared to July 2005, approximate value was up by 23.5%; building permits for other constructions rose by 89.9% (contribution 17.9 percentage points) and for non-residential buildings by 27.2% (contribution 9.3 p. p.). Year-on-year decreases in approximate value were observed for residential buildings (-7%, contribution -2.5 p. p.) and environmental constructions (-11.6%, contribution –1.2 p. p.).
The increase in the value of building permits granted for other constructions was mainly affected by the high financial volume of work on the optimisation of railway lines and on highway construction and reconstruction. The increase in non-residential buildings was due to building permits for expensive and large constructions, for example of office and factory buildings including reconstructions.

The planning and building control authorities permitted 3 121 dwellings to be constructed, which was by 913 dwellings fewer than in July 2005. Out of that, 2 598 dwellings will be built as new constructions (-877 permitted dwellings year-on-year) and 523 dwellings will be obtained by renewals and enhancements (-36 permitted dwellings year-on-year). The approximate value of newly permitted dwellings in multi-dwelling buildings reached CZK 6.8 billion.

The planning and building control authorities permitted the construction of buildings with a floor space of 817.0 thousand m2 (+28.0% on July 2005). The floor space of new buildings was 769.3 thousand m2 and of renewals and enhancements 47.7 thousand m2. The average floor space of 136.0 m2 per dwelling with approximate value CZK 17.8 thousand per m2 was permitted for new construction of residential buildings.

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Note
Contact: Vladimír Zikmund, phone (+420) 274054252, e-mail: vladimir.zikmund@csu.gov.cz
Data source: CZSO direct survey in enterprises and planning and building control authorities
End of data collection: 1 September 2006
End of data processing: 4 September 2006
Related publications: /1-ep-8
8201-06 Construction
8202-06 Building Permits Granted

The data in Table 1 for May and June were revised, for July are preliminary and will be updated when data for October 2006 are published.
The data in Table 2 are final.