Switzerland Is The Most Costly Place In The World To Build
Source: http://www.propertywire.com
#switzerland #record #construction
Construction costs in Switzerland are more than 25 percent higher than anywhere else in the world, according to the annual International Construction Cost Comparison Report released by asset consultancy EC Harris.
The annual report, which benchmarks the construction costs in 55 countries across the globe using UK prices as a baseline, found that Europe continues to be the most expensive continent in which to build, providing eight of the top 10 entrants in the final league table.
According to the report, the price of construction in Switzerland is 71 percent higher than in the UK, where costs are now more than 20 percent below their peak price in mid-2008. Overall, the UK is now tied with Bahrain as the 12th most expensive place in the world to build, up four places from 2010 where it finished in 16th place.
Denmark retained its position as the second most expensive place to build, closely followed by its Scandinavian neighbour Sweden. Australia and Canada were the only non-European markets to make it into the top 10 although Bahrain just missed out, finishing in 12th place overall alongside the UK. India and Sri Lanka were tied as the cheapest countries in which to build with construction costs estimated to be 72 percent cheaper than the UK baseline.
Mathew Riley, head of Cost and Commercial at EC Harris, said, that it was no surprise to see that Switzerland and the Scandinavian countries are the most expensive places to build as high labour costs and the need to import materials are all combining to drive prices up.
The report also underlines the need for Western economies to start planning ahead now to guarantee access to the raw materials needed for future construction projects. During the economic downturn global supply chains have shifted their focus to meeting the demands of economies like China and India and are likely to continue to prioritize them over the coming years as they offer the greatest revenue growth opportunities.
The annual report, which benchmarks the construction costs in 55 countries across the globe using UK prices as a baseline, found that Europe continues to be the most expensive continent in which to build, providing eight of the top 10 entrants in the final league table.
According to the report, the price of construction in Switzerland is 71 percent higher than in the UK, where costs are now more than 20 percent below their peak price in mid-2008. Overall, the UK is now tied with Bahrain as the 12th most expensive place in the world to build, up four places from 2010 where it finished in 16th place.
Denmark retained its position as the second most expensive place to build, closely followed by its Scandinavian neighbour Sweden. Australia and Canada were the only non-European markets to make it into the top 10 although Bahrain just missed out, finishing in 12th place overall alongside the UK. India and Sri Lanka were tied as the cheapest countries in which to build with construction costs estimated to be 72 percent cheaper than the UK baseline.
Mathew Riley, head of Cost and Commercial at EC Harris, said, that it was no surprise to see that Switzerland and the Scandinavian countries are the most expensive places to build as high labour costs and the need to import materials are all combining to drive prices up.
The report also underlines the need for Western economies to start planning ahead now to guarantee access to the raw materials needed for future construction projects. During the economic downturn global supply chains have shifted their focus to meeting the demands of economies like China and India and are likely to continue to prioritize them over the coming years as they offer the greatest revenue growth opportunities.
