— We are doing this so that the route deduction will not crowd out important investments in renovations for households, says Finance Minister Elisabeth Svantesson (M).
Last year, households made a total of 11.7 billion kroner. Exactly what is expected to be the effect of the increased root deduction is unclear. But the government estimates that there will be a tax loss of close to one billion kroner.
Infrastructure and Housing Minister Andreas Carlson (KD) notes that the increase is expected to have positive effects.
— We expect that the demand for root work will increase, and that the demand for jobs in construction and civil engineering will increase, says Carlson.
The ministers present two more budget news. This applies to what are called bonuses to the municipalities.
Partly regarding the conversion of office premises to housing at SEK 20 million in 2024, followed by SEK 25 million per year in 2025 and 2026. Partly regarding the construction of more detached houses at SEK 60 million in 2024, followed by SEK 75 million per year for the next two years.
The comments rolled in quickly. The villa owners are satisfied, but not those who live in tenements.
“It is a sad announcement from the government today. This further increases the injustice between owned and rented housing and does not remedy the housing shortage,” writes the Tenants’ Association’s president Marie Linder in a comment.
“It is a wise economic stimulus for a crisis-ridden construction industry, but also makes it easier for the country’s single-family house owners who are struggling with rising costs, interest rates and electricity prices,” writes Villaägarna’s social policy director Håkan Larsson. (TT)