The cost increase and the slowdown in new construction may speed up renovation construction in the Satakunta area as well. Considering the aging of the buildings and the goals of the green transition, however, the growth of repairs is too slow.
Economic outlook for house construction in Satakunta
Chief economist of Rakennusteollisuus RT ry Jouni Vihmon according to the business cycle review prepared by Insufficient demand has become the most common obstacle to growth. The number of building permits granted for new buildings is decreasing in all sectors of house construction.
However, according to the answers to the survey aimed at builders, designers and contractors in the Satakunta area, the coming six-month period would seem to follow the previous pattern: no big drop is predicted for any sub-area, but no significant growth either. Overall, the economic situation was rated as satisfactory.
Solutions for low-flying and preparation for the future
"Now would be the perfect time to build ARA-subsidized housing for special groups and the elderly, reduce the repair debt of buildings and carry out renovations that improve the energy efficiency required for emission reductions" Regional manager of the Satakunta region of Talonrakennusteollisuus ry Katja Suovo toteaa.
"As the amount of privately financed construction decreases, skilled resources are available for a wide variety of public new construction. In addition, the amount of renovation construction should be increased rapidly. The biggest emission reduction potential of the built environment is in improving the energy efficiency of the existing building stock, and the green transition requires doubling the amount of renovation construction," continues Suovo.
During the downturn, the availability of skilled labor must also be ensured in the future. The building industry works closely with the Satakunta University of Applied Sciences and the area's vocational schools. "With this cooperation, we want to create faith in the future for the students. Without a skilled workforce, it is impossible to build Satakunta and Finland and achieve the climate goals," Suovo concludes.
The materials of Satakunta's business cycle review
- Economic outlook for construction Satakunta, April 2023 (pdf)
- Presentation materials of Satakunta's business cycle review (pdf)
Katja Suovo regional manager