Construction costs in Germany show the highest increase since 1970 in November 2021

In November 2021, the construction cost index in Germany rose by 14.4% compared to November 2020.

“The increase in November was the highest annual increase since August 1970,” Destatis said in a statement. expression was used. In August 1970, the annual increase was recorded as 17 percent.

In the statement, it was emphasized that the strong increase in the construction cost index was due to the sharp rise in material costs.

According to the statement, it is noteworthy that the prices of construction timber were 38.9 percent more expensive than a year ago due to the increasing demand in the country and abroad, while the increase in the prices of roofing and insulation materials was 17.1 percent. Concrete cost prices also increased by 16.5 percent on an annual basis.

In the statement, it was stated that the end of the VAT reductions implemented in March 2020 due to the Kovid-19 epidemic was effective on the prices in question, and it was stated that the increase in the construction cost index would remain at 11.6 percent in November 2021 if this effect is excluded.