Data from August 2025
Planned article update: September 2026
Highlights
Building projects typically take much longer from conception to completion than the creation of products in many other sectors, and often involve a large number of subcontracting enterprises with various specialisations. Another characteristic of the construction of buildings sector is that this activity is particularly cyclical, influenced by business and consumer confidence, interest rates and government programmes.
Structural profile
The construction of buildings sector is one of the smallest (at the NACE division level) within the EU's non-financial business economy (Sections B to N and P to R, as well as Divisions S95 and S96). Around 960 000 enterprises operated in the EU's construction of buildings sector (Division 41) in 2022, accounting for 3.0% of all enterprises in the business economy. Compared with the previous year, the number of enterprises increased by 4.1%. These enterprises employed almost 3.5 million people, 2.2% of the employment in the business economy and 24.7% of the total number of people employed in construction (Section F). They generated €177.9 billion of value added, an increase of 12.5% compared with 2021. The value added recorded in the construction of buildings represented 1.8% of the business economy total and 25.7% of the construction total.
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Source: Eurostat (sbs_ovw_act)
The apparent labour productivity of the EU's construction of buildings sector in 2022 was €51 500 per person employed, €11 200 per person less than the business economy average of €62 700 per person employed, but slightly above the construction average of €48 600 per person employed. Average employee benefits expense (average personnel costs) within the EU's construction of buildings sector were €36 700 per employee, slightly lower than the business economy average (€41 100 per employee) and the construction average (€40 000 per employee). The EU's construction of buildings sector recorded a wage-adjusted labour productivity ratio of 140.4%, below the business economy average (152.6%), but well above the construction average (121.7%). This sector's gross operating rate (the relation between the gross operating surplus and turnover) of 10.0% was also below the business economy average (11.8%) and below construction average (11.3%).
Sectoral analysis
The construction of buildings sector is composed of 2 subsectors: the development of building projects (Group 41.1) and the construction of residential and non-residential buildings (Group 41.2). The development of building projects was the smaller of the 2 subsectors within the EU according to most measures, with 10.5% of the sector's employment and 19.2% of sectoral value added in 2022 — see Figure 1. The subsector of construction of residential and non-residential buildings employed around 3.1 million people, representing 89.5% of the construction of buildings sector, and has generated 80.8 of the sector's value added (€143.8 billion)
,_EU,_2022.png)
(% share of sectoral total)
Source: Eurostat (sbs_ovw_act)
Due to its lower employment share (compared to value added), the EU's development of building projects subsector had a much higher apparent labour productivity (€94 000 per person employed) than that for the construction of residential and non-residential buildings subsector.
,_EU,_2022.png)
Source: Eurostat (sbs_ovw_act)
,_EU,_2022.png)
Source: Eurostat (sbs_ovw_act)
Country overview
Cyprus was the EU country with, in relative terms, the construction of buildings sector which had the highest value added in 2022, where 4.5% of its business economy value added was generated, followed by Romania (3.9%), Estonia, Finland (each with 3.3%) and Croatia, Portugal and Lithuania (each with 3.2%). The least specialised EU countries, in value added terms, were Denmark and Germany (each with 1.0% of business economy value added in the construction of buildings sector), followed by Ireland (1.1%), France (1.2%), and Greece and Slovakia (each with 1.3%).
,_EU,_2022.png)
(% share of value added and employment in the business economy total)
Source: Eurostat (sbs_ovw_act)
In 2022, Germany was the largest EU country for the construction of buildings sector in value added terms, with a 16.8% share of EU value added. The top 5 was completed by Spain, Italy, France and the Netherlands. Spain showed the largest share of the EU's employment with 16.3%, followed by Italy, Germany, Poland, and Romania. Together, the top 5 countries employed 54.9% of the EU's construction of buildings sector workforce.
,_EU,_2022.png)
(cumulative share of the five principal EU countries as a % of the EU total)
Source: Eurostat (sbs_ovw_act)
A wage-adjusted labour productivity ratio for the construction of buildings sector, averaging at around 140% across the EU in 2022, indicates that the average value added generated per person employed was more than average employee benefits expense. Lowest wage-adjusted labour productivity ratios were 98.5% in Finland and 100.7% in Denmark. At the other end of the ranking, the highest wage-adjusted labour productivity ratios were 220.3% in Poland, followed by 216.5% in Malta, 214.1% in Hungary and 202.7% in Romania.
,_EU,_2022.png)
Source: Eurostat (sbs_ovw_act)
,_EU,_2022.png)
Source: Eurostat (sbs_ovw_act)
Data sources
The analysis presented in this article is based on the main dataset for structural business statistics (SBS) and size class data, all of which are published annually.
The main series provides information for each EU country as well as a number of non-EU countries at a detailed level according to the activity classification NACE. Data are available for a wide range of variables.
In structural business statistics, size classes are generally defined by the number of people employed. A limited set of the standard structural business statistics variables (for example, the number of enterprises, turnover, people employed and value added) are analysed by size class, mostly down to the three-digit (group) level of NACE. The main size classes used in this article for presenting the results are:
- small and medium-sized enterprises (SMEs): with 1 to 249 people employed, further divided into:
- micro enterprises: with less than 10 people employed;
- small enterprises: with 10 to 49 people employed;
- medium-sized enterprises: with 50 to 249 people employed;
- large enterprises: with 250 or more people employed.
Structural business statistics also include regional data. Regional SBS data are available at NUTS levels 1 and 2 for the EU countries, Iceland and Norway, mostly down to the two-digit (division/section) level of NACE. The main variable analysed in this article is the number of people employed. The type of statistical unit used for regional SBS data is normally the local unit, which is an enterprise or part of an enterprise situated in a geographically identified place. Local units are classified into sectors (by NACE) normally according to their own main activity, but in some EU countries the activity code is assigned on the basis of the principal activity of the enterprise to which the local unit belongs. The main SBS data series are presented at national level only, and for this national data the statistical unit is the enterprise. It is possible for the principal activity of a local unit to differ from that of the enterprise to which it belongs. Hence, national SBS data from the main series are not necessarily directly comparable with national aggregates compiled from regional SBS.
Source data for tables and graphs
This article presents an overview of statistics for the construction of buildings sector in the EU, as covered by NACE Rev. 2 Division 41. This division includes general construction of buildings of all kinds. It includes new work, repair, additions and alterations, the erection of pre-fabricated buildings or structures on the site and also constructions of a temporary nature. Also included are the construction of entire dwellings, office buildings, stores and other public and utility buildings, farm buildings, and so on.
The development of building projects (residential and non-residential) involves bringing together financial, technical and physical means to achieve the building projects for later sale.
The construction of buildings (residential and non-residential) includes the construction of complete buildings on own account for sale or on a fee or contract basis. Outsourcing parts or even the whole construction process is possible. All types of residential buildings and non-residential buildings are included, such as factories, workshops, assembly plants, warehouses, stores, shopping malls, hotels, restaurants, airport buildings, office buildings, hospitals, schools, religious buildings, indoor sports facilities and parking garages (including underground). Remodeling or renovating existing structures is also included.
This NACE division is composed of 2 groups:
- the development of building projects (Group 41.1);
- the construction of residential and non-residential buildings (Group 41.2).
The information that is presented in this article excludes the erection of complete prefabricated constructions from self-manufactured parts not of concrete (these activities form part of the wood and metal manufacturing sectors (Divisions 16 and 25 respectively)), the construction of industrial facilities except buildings (which are included within civil engineering, Division 42). Also excluded are architectural and engineering activities and project management services related to building projects (Division 71).
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Thematic section
===Thematic section===</onlyprint>
Publications
- Structural business statistics – SBS metadata file