Response to interpellation 2024/25:692 on the need for housing construction and complementary measures
Translated from Swedish by AI; the translation may contain errors. The Swedish text is the original.
Summary AI, written in advance
1 KD argues that the government shares Boverket's assessment regarding the need for new housing and that current measures significantly improve the conditions for construction 1. 2 KD believes that the reliefs increase flexibility and lower costs 2. 2 KD wants to increase small house construction through strategic work and has introduced presumption rents 2. 3 KD argues that fundamental problems such as long lead times and complicated regulations affect construction negatively 3. 3 KD implements building permit simplifications and reliefs in the shore protection 3. 4 KD believes that taxpayers' money is used effectively through the Norrlandsfonden and increases the root share 4. 5 S argues that the new building rules lead to less flexible student housing 5. 6 S wants to see a state-owned real estate company, investment support, state building credits, and a national action plan 6. 6 S believes that the government has not fulfilled previous election promises 6. 7 S argues that the government refuses to implement measures to get housing construction started 7.
Written by AI in advance and may contain errors. The numbers lead to the speech a statement builds on; check against the text below.
Statsrådet Andreas Carlson (KD)
Madam Speaker! Markus Kallifatides has asked me what assessment I and the government make of the need for construction of new housing during the period 2024–2033. Markus Kallifatides has also asked me if I and the government consider the measures taken so far to be sufficient to achieve the need for construction of new housing that I and the government see and, if not, what supplementary measures I and the government are prepared to take.
In December last year, Boverket carried out new calculations of the national and regional need for housing for the period 2024–2033. According to Boverket's calculation, more than 523,000 new homes need to be added in the next ten years up to and including 2033. This includes more than 151,000 homes considered necessary to cover an estimated historical deficit in housing construction, as well as more than 51,000 homes to create a so-called housing reserve. The remaining more than 320,000 homes are the need based on household development and stock development. To keep pace with household development, Boverket therefore assesses that an average of more than 32,000 new homes are needed per year until 2033.
Boverket's revised needs assessment is a significant reduction compared to Boverket's assessment three years ago. The reduction is due to a high number of completed homes in recent years and largely to the fact that Statistics Sweden has revised down its population projection for Sweden, as we see clearly lower birth rates in Sweden while immigration has decreased. When the population growth becomes lower, it naturally affects the housing need in the long run.
The government and I largely share Boverket's assessment of the need for new housing during the period 2024–2033. One must also, just like Boverket, see the different aspects of how the calculated need is structured. Even with a significant reduction in the need, the fact remains that a continued supply of new housing is crucial to meet the household development. It is important to point out that lower birth rates do not immediately lead to a reduced need and demand for housing, because the cohorts of children born today will move out of their homes in about 20 years. Conversely, increased child births do not immediately lead to an increased housing need. In the shorter term, other factors, such as migration and moving in and out between regions, will have greater significance for the housing need. Even though a surplus and empty apartments are reported in some parts of the country, the need for new housing remains great in other parts of the country, for example in our growing metropolitan regions.
Regarding the measures that have been taken so far, I want to emphasize that the government has initiated a large number of interventions to improve the conditions for housing construction throughout the country. The government has focused its work on addressing the structural obstacles that characterize the construction and housing market, among other things through regulatory simplifications, so that Sweden will be better equipped and to enable increased housing construction when the economic cycle normalizes.
Several important measures are about to come into force shortly. Already in the coming month, a couple of these will begin to apply. On 1 July 2025, Boverket's new building regulations will come into force. The rules will be fewer and designed as functional requirements. Boverket's assessment is that their new building regulations can, in the long run, lead to innovation and technical development with faster and more cost-effective construction as a result. On 1 July 2025, legal changes also come into force which entail relaxations in the building requirements for student housing, which is expected to result in lower costs per housing unit. According to Boverket's calculations, the cost can decrease by between 30,000 and 46,000 kronor per student housing unit.
The Government and I assess that the measures now being taken significantly improve the conditions for housing construction and constitute important steps to meet the need for new homes that we see. We are simultaneously following the developments within the construction and housing sector closely and do not rule out that further measures may be needed.
Markus Kallifatides (S)
Madam Speaker! Thank you, Minister, for the answer! It is of course excellent that the government closely follows the developments within the construction and housing sector and that one does not rule out that further measures may be needed in this area. I will return to what we Social Democrats believe should be done.
Madam Speaker! The Government apparently assesses that the measures now being taken "significantly improve the conditions for housing construction and constitute important steps to meet the need for new housing that we see." The Minister mentions, among other things, the highly criticized new building regulations that come into force on July 1. Now it is to be permitted, Madam Speaker, to build housing with any ceiling height whatsoever. We shall see what that leads to. From July 1, it will also be permitted to build even smaller, less accessible, and less flexible student housing. We shall see what that leads to.
My question in this interpellation, Madam Speaker, was not about what the government is doing, but about which analysis of the needs the government is based on. Boverket's latest calculations of the national and regional need for housing, which the Minister addressed for the period 2024–2033, show that more than 523,000 new homes need to be added during this period. It can be noted that this is 77,000 fewer than the previous calculation that Boverket published in 2021 for a previous ten-year period.
Hyresgästföreningen, which I raise in my interpellation, has designed an alternative but quite similar calculation method for the need for new housing. Unlike Boverket's model, Hyresgästföreningens calculation method can be performed by almost anyone with the help of generally available data. But the result is interestingly consistent with Boverket's. The need for new housing is also calculated by Hyresgästföreningen to be approximately half a million new homes until 2033. This can be distributed among municipalities, which have the ultimate responsibility for housing supply in the country.
Regardless of which method is chosen, it is therefore a matter of a need for housing construction of approximately 50,000 new apartments per year. According to Boverket's latest figures, only just over 30,000 homes have been started or will be started in the country during 2023, 2024, and 2025. When it comes to completed homes, a dramatic decrease occurred in 2024 from the record year 2023. During 2025, the current year, barely 33,000 homes are projected to be completed.
Madam Speaker! In the general debate and also here in the Riksdag, representatives for the government side have on repeated occasions expressed that housing construction at the current level is perhaps not a major problem. The Minister's answer to my question could also be interpreted as him being fairly satisfied. But I would really like to have a clear answer to my questions: What assessment does the government and the Minister make of the need for construction of new housing during the period 2024 to 2033 – 32,000 per year, 50,000 per year, or what? Are the measures taken so far sufficient to meet this need? If not, what complementary measures is the government and the Minister prepared to take?
Statsrådet Andreas Carlson (KD)
Madam Speaker! Let me begin by commenting on one of Markus Kallifatides' claims regarding the simplifications and reliefs for building student housing. It is not that this becomes less flexible. It becomes more flexible, Madam Speaker, which is based on the fact that not all apartments need to be accessibility-adapted. 20 percent of the apartments shall be that, which is high above the need that exists today, and it enables those who are in need of an accessibility-adapted student apartment to get it.
What is important to emphasize is that accessibility for visitors should be good so that one can visit someone living in a student apartment where the resident themselves does not have a need for an accessible apartment, but where the visitor has that need. This is something that works well in Norway, and it also works well in Finland, which has a significantly lower figure than Sweden does.
As I said, Madam Speaker, this means that the costs can be significantly reduced. Flexibility increases, and one can simply plan the floor plans in a way that allows one to get more student apartments per floor. This is, of course, important in a country like Sweden, which is a knowledge nation and shall continue to be one.
Regarding Boverket's assessment, I said exactly this in my response, Madam Speaker: The Government and I largely share Boverket's assessment of the need for new housing during the period 2024–2033. One must, just like Boverket, see the different aspects of how the calculated need is constructed. I also pointed out that ups and downs in the birth rate do not affect the housing need until perhaps 20 years later. It is therefore important to have a long-term perspective in this. I therefore see no reason to question Boverket's assessment, on the contrary.
Madam Speaker! When it comes to which measures can be further taken, and which I did not mention in my answer, an important part is to increase the construction of small houses in Sweden. We know that very many want to live in small houses. We know that the new production rate for small houses is low compared to in other EU countries. The Government has appointed a cottage commissioner with a mandate to work on this. Stefan Attefall will soon deliver his second interim report and present the work so far and also the causes he assesses lie behind the decline that we see in relation to other EU countries.
Many who today live in a rental apartment, a housing cooperative apartment, or an apartment at all, tell in various surveys – including Hyresgästföreningens own, I believe – that they would gladly have lived in a small house if that possibility had existed. Therefore, we see it as a very important strategic task to enable more people to get their foot over the threshold to their own small house. It can be owned, as many want, or rented. We do not pit different forms of tenure against each other.
I believe it is important to facilitate for more people to move into small houses and realize that housing dream. It also means that apartments are freed up for, for example, those who today are in perhaps a very long housing queue to move into a rental apartment. One can imagine that it would be a housing option that many can be happy with and where the rents can be lower than in newly produced rental apartments.
The government has also taken measures to introduce presumed rents, which is an important part of making the calculations for building housing work. I could continue longer, but my speaking time is up.
Markus Kallifatides (S)
Madam Speaker! Thank you, Minister, for the answer!
The government would have had a good opportunity to stimulate small house construction, for example, by fulfilling previous election promises regarding start-up loans and a review of credit regulations. But it is being dragged out or has ended up in a wastebasket. Rural loans have been proposed by two government inquiries that the Minister has access to. But it has, therefore, not happened.
When I spoke about the new rules for student housing being less flexible, I meant the flexibility in the long-term use of the property. Many have argued that this flexibility is decreasing. If, for example, one were to need to convert student housing into more of a senior housing or some kind of care facility, these rules entail less flexibility. That was what I intended.
We will return to the issue of presumed rent quite soon here in the chamber. These are important issues, all of them.
Madam Speaker! We Social Democrats simply do not accept that housing construction has fallen as it has now. We have, unlike this government, presented both structural and cyclical-related measures. We have done so throughout this entire mandate period. Unfortunately, the right-wing majority in the Riksdag and the Tidö government have rejected everything.
We want to see a clear goal for housing construction in line with the assessed need, i.e., on the order of 50,000 new apartments per year 2024–2033. We Social Democrats, Madam Speaker, want to see a national action plan to reach the goal. We want to see a state-owned real estate company that can act in a recession where other actors do not have the power to safeguard the public interest of a stable construction of housing in line with the needs.
We want to see an investment support for the construction of rental apartments and student housing with lower rent levels. We want to see favorable state construction credits that are clearly linked to the housing social objectives and the transition to the circular climate-smart economy also in the construction sector. We want to see a new unified housing supply law. We want the connection between state infrastructure investments and municipal housing policy commitments to be clarified.
We want to see municipal, public-service housing companies in all municipalities. We want to exempt public service from the cost-driving law on public procurement, LOU, etc.
For the Tidöre government, none of this is relevant. It is, however, likely to provide hundreds of billions of kronor in loans for new nuclear reactors, additionally with price and profitability guarantees, for the private companies that build them.
The Christian Democrats, the government's party, do not fear the idea of nationalizing the entire healthcare system in this country. But that the state should govern more in housing policy and invest in something other than tax deductions for those who already own their homes seems almost unthinkable.
Madam Speaker! Does the Minister for Infrastructure and Housing not see the contradiction here, or the lack of principle? Does he not see that it is quite jarring?
Statsrådet Andreas Carlson (KD)
Madam Speaker! What is grating, Markus Kallifatides, is the difference between words and actions. By that, I mean the Social Democrats' words. It is possible to make a long wish list of various measures that one wants to see. But we have the results for eight years. It is starting to be a few years ago now, but not for a single year under the previous government were so many homes built as the National Board of Housing as determined needed to be built according to the construction demand forecast – despite the fact that we had a low-interest environment and even negative interest at times, and despite a burning boom.
It is absolutely possible to submit lists with various requests, but the fundamental problems have existed in the construction and housing market for a long time and affect housing construction very negatively. It is, of course, extra clear in the downturn we are now emerging from and in a situation where we have had high inflation that lead times are long, the regulations are cumbersome, and available land is lacking. That is why the government has proceeded with relaxations in the shore protection regulations. That is why we are implementing the largest building permit simplifications in 15 years this spring.
A massive regulatory simplification effort is underway, which means that costs can decrease and the regulatory framework can become clearer. Someone who, for example, wants to expand their house does not need to search in the Planning and Building Act, ordinances, or area regulations in the detailed development plan. One receives a new chapter in PBL that clarifies what applies. The simplifications amount to approximately 40 and mean that more people can expand and that one does not need to apply for a building permit for simpler measures. According to the investigation, this is judged to reduce the administrative burden by up to 40 percent in the municipal building committees and at the municipal offices.
Many different measures are being implemented alongside the reliefs for student housing construction and also the Möjligheternas building regulations, which was a project that was launched during Markus Kallifatides' party's time in government. As a side note, it is a bit surprising that there is so much criticism now, when one was involved in developing the assignment.
With what is happening now, we are addressing a good deal of the problems with cumbersome regulations. Construction and lead times are, of course, very important to address. Some things, one might not see the effect of directly, but that does not make it any less important to solve the problems that have affected housing construction for a very long time.
The failure became clear during the previous government. Not even in a period of high economic growth and low and negative interest rates did they manage to build enough. Therefore, I think, Madam Speaker, with all due respect, that what actually grates is the difference between the various ideas and proposals being presented now and the reform power that was possessed when there was a chance. We demonstrate through many different measures that we are tackling the fundamental problems in the construction and housing market. I hope that there will be a broad consensus so that there will be better conditions for building housing in Sweden.
Markus Kallifatides (S)
Madam Speaker! We Social Democrats always strive for broad consensus and gladly participate in the ambitions to have rules for housing construction and processes for the addition and availability of buildable land, etc., as simple, predictable and sensible as possible. We are also strong supporters of listening carefully to referral bodies when investigations come forward with their proposals. We have done that, and we will soon return to the question of building permit rules here in the chamber as well.
Mr. Speaker, at least 10,000 children are homeless here in the country. Overcrowding has increased sharply and is widespread in the metropolitan areas. Approximately 200,000 young adults live involuntarily at home with their parents. At the same time, far more than 10,000 Swedish construction workers are unemployed and are on social welfare.
We have low growth and high unemployment. The low housing construction hinders long-term economic development, not least here in the Stockholm region. The government refuses to implement measures to get housing construction started.
The situation is exacerbated by poor distribution policy, Madam Speaker, with cuts and erosion of, for example, housing allowances, child allowances, and maintenance support for single parents. The school system drives segregation and exclusion. The labor market policy is completely inadequate.
We unfortunately have a passive, market-liberal right-wing government. We Social Democrats, however, stand ready to wish Andreas Carlson a good summer but also Sweden a new direction with an active state housing policy.
Statsrådet Andreas Carlson (KD)
Madam Speaker! Clear differences can sometimes be found in the debates between Markus Kallifatides and me. The multi-billion investment subsidies that the previous government had went in large part to housing that would have been built anyway. These are funds that could instead be used to, for example, finance the welfare system.
With the construction of capital injections to Norrlandsfonden, we have instead given a mandate and opportunities to balance the calculations for the part that is missing. I have personally been to Ludvika. Someone might wonder about that. Ludvika is not located in Norrland. No, that is quite right. Norrlandsfonden, in this mandate and capital injection, does not have an exclusive focus on Norrland but can enter municipalities where there is a need to build housing as a result of company expansion or establishment that allows the calculation to be balanced.
This means that taxpayers' money is being used in a very efficient way. In this year's budget, 300 million kronor have been allocated. Given the construction, it can become a leverage corresponding to approximately 1.5 billion in support for housing construction. We also have credit guarantees and are increasing the root share from 30 to 50 percent.
When more people get the opportunity to carry out renovations and extensions with the ROT deduction, it constitutes an important measure to save some jobs in a severely vulnerable construction sector. This is a construction that is different from the previous temporary increase of ROT, when the ceiling was raised. Now it will be possible for more to utilize ROT, and we can expect that more will get the opportunity to remain in their jobs in the construction sector. We know, of course, that there is both a large maintenance need and a large need for new construction.
I share the view that this is important and that it is prioritized.
So things are happening, Madam Speaker. I would like to wish Markus Kallifatides a good summer soon.
Source: The Swedish Parliament. The speeches come from the open data of the Riksdag, translated into English by AI, which may contain errors.