Government falls behind housing permit goal and announces budget package to boost construction

Bjørnar Skjæran, minister of local government and modernization, confirmed that the government is behind its housing permit target, delivering far fewer permits than planned for one outlet year and also including conversion permits. He does not expect the pace to improve in the next year and anticipates that the same level may repeat, meaning substantially more permits will be required annually from 2027 to 2030 to meet the long-term goal.

Acknowledging the lag, Skjæran said the state budget to be presented on Wednesday will contain a housing package aimed at strengthening the agencies involved. The package allocates funds for digitising processes, merging Husbanken with the Directorate for Building Quality, and supporting a new system for Husbanken. He stressed that the government is focusing on actions within its control while noting that global price pressures also affect construction speed.