Construction - November 2007

Seasonally adjusted total construction output at constant prices increased by 0.9% in November 2007, compared with October 2007. In comparison to November 2006, output at constant prices was up by 7.0%. The planning and building control authorities granted 10 126 building permits, which was by 13.7% less year-on-year. Approximate value of permitted constructions increased by 0.6% year-on-year and reached CZK 30.1 billion.  
 Seasonally adjusted total construction output at constant prices grew by 0.9% month-on-month. The trend increased by 0.7% month-on-month (see Table 3).  

Total construction output at constant prices increased by 7.0% year-on-year, working days adjusted (WDA) total output grew by 5.4% (November 2007 had one working day more). Output increased in all observed types of constructions except for other work. A marked increase was recorded for civil engineering, especially repair, modernisation and reconstruction of roads, which was affected by the appropriation of money for this purpose, mainly in the municipal sector.
           
Contracted construction work carried out by construction enterprises with 20+ employees increased by 6.7% year-on-year at constant prices. New construction, reconstruction and modernisation recorded a 4.9% increase (contribution 4.1 percentage points), of which building construction grew by 0.4% (contribution 0.2 p.p.) and civil engineering works rose by 11.2% (contribution 3.9 p.p.). Repair and maintenance increased by 15.5% (contribution 1.9 p.p.). Other work recorded a fall of 46.4% (contribution ‑0.3 p.p.). Construction work abroad grew by 28.3% (contribution 1.0 p.p.).
 
The number of employees in construction enterprises with 20+ employees dropped by 2.2%* ⁾ against November 2006. The average monthly nominal wage of employees increased by 5.1% year-on-year and reached CZK 25 407 (the real wage rose by 0.1%). The average hourly wage grew by 4.4% year-on-year and stood at CZK 161. Labour productivity per employee increased by 9.1% and labour productivity per hour worked grew by 8.4%.
 
The planning and building control authorities granted 10 126** ⁾ building permits in November 2007 (of which 5 911 for new constructions and 4 215 for renewals and enhancements). Building permits granted fell by 13.7% year-on-year.
       
Approximate value of constructions permitted in November 2007 increased by 0.6% in comparison to November 2006 and reached CZK 30.1 billion. New construction is valued at CZK 19.9 billion (down by 8.5%, contribution  -6.2 p.p.). Renewals and enhancements will make available constructions worth CZK 10.2 billion (up by 24.8%, contribution 6.8 p.p.). The increase in the approximate value of new construction was differentiated; the total fall was due to other constructions as a result of the high comparative basis. Approximate value of renewals and enhancements rose in all types of constructions. The biggest contribution to the growth was made by non-residential buildings (up by 22.8%, contribution 3.3 p.p.).
 
The planning and building control authorities permitted the construction of 2 873 dwellings, which was by 774 dwellings fewer (-21.2%) than in November 2006. Out of that, 2 361 dwellings (down by 739 dwellings) will be obtained by new construction and 512 dwellings (down by 35 dwellings) by renewals and enhancements. The approximate value of newly permitted dwellings in multi-dwelling buildings was CZK 6.2 billion.
The planning and building control authorities permitted the construction of buildings with a floor space of 655.3 thousand m ² (-1.1%), of which floor space of residential buildings decreased by 21.0% and of non-residential buildings grew by 28.0%. The average floor space of a newly constructed dwelling was 123.9 m ² and the approximate value was CZK 20.4 thousand per m ².
According to Eurostat News Release, WDA construction output in the EU27 grew by 2.7% year-on-year in October 2007, of which building construction increased by 2.9% and civil engineering by 2.8%. Among the EU member states for which data were available, the highest increases were observed in Romania (+39.5%), Slovenia (+9.0%) and Poland (+3.7%). The highest decreases were recorded in Sweden (-5.0%), Slovakia (-1.5%) and Germany (-0.7%).

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Note
Contact:                                Vladimir Zikmund, phone (+420) 274054252, e-mail: vladimir.zikmund@csu.gov.cz
Data source:                        CZSO direct survey in enterprises with 20+ employees and in planning and building control authorities
End of data collection:       9 January 2008
End of data processing:    14 January 2008
Related publications:         /1-ep-8
8201-07 Construction
8202-07 Building Permits Granted
 
Data in Table 1 for September 2007 are revised; data for October and November are preliminary and will be updated with release for December 2007.
Data in Table 2 are final.

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*) Employment indicators are observed in construction enterprises with 20+ employees. The average registered number of employees does not include agency workers.
**) On 1 January 2007, a new Act No. 183/2006 Sb., on Territorial Planning and Building Code (the Building Act), was brought in. It newly resolves, especially in Sections 103 and 104, the problem of “granting building permits”. This new Act may have an impact on absolute values in time series covering new construction and renewals and enhancements, particularly the numbers of building permits and corresponding approximate values for non-residential buildings, environmental constructions and other constructions.