Many in Sweden still work from home, though frequency Is slowly declining

Working from home remains a significant feature of employment life in Sweden, with levels still far above pre-pandemic norms, according to new data from Statistics Sweden’s Labour Force Surveys (LFS). The report reveals that while the share of people working from home has slightly declined since the peak of the pandemic, it remains a core part of the work routine for many, especially among permanent employees aged 20–64.

In 2024, around 46 percent of employed Swedes in this age group reported working from home to some extent—a dramatic rise from 2008, when the figure stood at just 20 percent. The most substantial growth has occurred among those who work remotely at least half of their working days. That share rose from just 6 percent before the pandemic to about 13 percent in 2024. While this figure is slightly down—by less than one percentage point—from 2023, the trend remains remarkably high compared to pre-pandemic patterns.

“The share of people who often work from home has decreased slightly but remains at a high level,” said Stefan Andersson, a statistician at Statistics Sweden. “We also see that those who work from home tend to log more hours overall.”

Remote work is particularly common among permanent employees aged 30–54. For this group, the share working from home at least half of the time increased from around 4–5 percent in 2019 to 14 percent for both men and women in 2024.

Education and sector also play a significant role in who works from home. Employees with post-secondary education, especially those in the private service sector or the state sector, are far more likely to work remotely. In these groups, the share working from home at least half the time has roughly doubled since 2019—from 10 to 22 percent in the private sector and from 12 to 21 percent in the state sector. In contrast, municipal sector workers have seen a decrease in remote work, dropping from 7 to 5 percent—likely due to the nature of roles that require physical presence.

Geographically, working from home is most common in Sweden’s metropolitan areas, where just over 15 percent of workers regularly work remotely. In urban and rural areas, the figure stands closer to 10 percent. Before the pandemic, remote work levels were more evenly spread across regions, but the shift toward remote work has since been concentrated in larger cities.

The report also examined how remote work affects the number of hours worked. Overall, individuals who work from home report slightly higher average weekly working hours than those who do not, a pattern consistent across most sectors. The largest gap is seen in the municipal and county council sectors, where remote workers logged nearly three more hours per week on average. Interestingly, in the IT sector—where remote work is most widespread—employees who work from home reported working about one hour less than their on-site counterparts.

Using a regression model, Statistics Sweden found a positive link between remote work and longer working hours, particularly among younger and older workers, individuals without post-secondary education, and those living in rural areas. In professions such as teaching and management, remote work is associated with working two to four more hours per week. However, this trend reverses in some high-tech fields like IT, where home-based work is associated with slightly fewer hours.

While remote work habits are evolving, the overall findings suggest that working from home is here to stay for a large segment of the Swedish workforce, albeit with variations across age, profession, education, and location.

Source: SCB
Data: Labour Force Survey

German residential property prices rise 1.9% in Q4 2024 year-on-year

Residential property prices in Germany increased by 1.9% in the fourth quarter of 2024 compared to the same period in the previous year, according to the latest data released by the Federal Statistical Office (Destatis). The modest rise signals a stabilisation of the housing market after months of price corrections driven by higher interest rates and cautious consumer sentiment.

The year-on-year increase marks a shift in market dynamics, following several quarters of stagnation or mild decline. While inflation and interest rate hikes had put downward pressure on prices throughout 2023, the latest data suggests a return of confidence among buyers and investors—particularly in urban areas and regions with sustained housing demand.

On a quarter-on-quarter basis, prices also showed slight upward momentum, driven by renewed activity in both the new-build and existing property segments. Analysts attribute the turnaround to improving economic sentiment, stable employment levels, and the gradual easing of financing conditions, which have made mortgages more accessible.

The data indicates that demand has been particularly strong in metropolitan areas such as Berlin, Munich, and Hamburg, where population growth continues to outpace housing supply. However, price growth in rural regions and smaller cities remains more subdued, reflecting a continued divergence within the German housing market.

Experts also point to an increase in residential investment and a growing interest in energy-efficient buildings, as both developers and buyers respond to stricter EU sustainability regulations and rising utility costs. The trend is expected to influence future pricing and demand patterns across the country.

While the 1.9% annual rise is modest compared to pre-pandemic highs, it is seen as a positive sign of resilience in Germany’s residential real estate sector. The coming quarters will reveal whether the market is entering a sustained recovery phase or simply experiencing a temporary rebound after a period of correction.

Housing affordability in England and Wales improves in 2024, returning to pre-pandemic levels

The housing market in England and Wales saw a notable improvement in affordability in 2024, following a sharp decline during the COVID-19 pandemic years. According to data released by the Office for National Statistics (ONS), the average home in England cost 7.7 times the median full-time salary (£37,600), down from 8.4 in 2023. In Wales, the affordability ratio fell slightly to 5.9 times the average annual earnings of £34,300. This marks a return to affordability levels last seen before the pandemic-driven surge in house prices between 2020 and 2021.

Overall, 91% of local authorities (289 out of 318) in England and Wales experienced improved affordability in 2024, while only 9% saw conditions worsen. Despite the improvement, housing remains out of reach for many in some areas. Only 9% of local authorities recorded house prices below five times the average annual income—a threshold commonly used to define affordability. While this is the highest share since 2015, it remains significantly lower than in 1997, when 88% of areas were considered affordable.

Blaenau Gwent in Wales was identified as the most affordable area in 2024, with a price-to-income ratio of 3.8. It was followed closely by Burnley and Blackpool, both with ratios of 3.9. On the other end of the spectrum, Kensington and Chelsea in London remained the least affordable local authority, with homes costing 27.1 times the average local income—seven times higher than the affordability threshold.

House price growth has largely stabilised over the past few years. Between 2021 and 2024, the median house price increased by just 1%, while average earnings grew by 20%. This shift in the income-to-price balance is a key factor behind the recent improvement in affordability. Between September 2023 and September 2024, median house prices in England and Wales fell by £7,500 (2.6%), while average earnings rose by £2,400 (5.6%).

The trend is especially evident in London, which has historically recorded the highest affordability ratios. The capital’s ratio peaked at 12.9 in 2021 but has since declined to 11.1 in 2024, bringing it closer to levels last seen in 2015. In contrast, affordability in Wales has remained more stable over the long term. After peaking at 6.6 in 2007, ratios in Wales have fluctuated only moderately, staying between 5.5 and 6.5 for much of the past 15 years.

Regional trends also varied between 2019 and 2024. The East Midlands recorded four of the ten largest increases in affordability ratios—indicating worsening conditions—while all of the ten most improved areas were located in London, suggesting the capital is regaining some balance between house prices and income.

This year’s report also highlights the long-term shifts in the housing market since records began in 1997. In England, affordability ratios doubled from 1997 to 2007, then remained relatively stable until 2013 before gradually rising again through to 2018. The pandemic years brought a sudden spike in prices, but with three consecutive years of declining ratios, 2024 sees affordability largely returning to its pre-pandemic trajectory.

The ONS analysis uses workplace-based earnings and house sale prices from the 12 months leading up to September 2024 to calculate affordability ratios. The data forms part of broader efforts to inform housing policy and the updated standard method for assessing local housing need.

While affordability has improved in much of the UK, the report cautions that the figures are not mix-adjusted, meaning they do not account for changes in the types of homes sold. As such, part of the observed improvement may reflect changes in the market composition rather than underlying shifts in real prices. Nonetheless, the overall trend suggests a modest easing of pressure on homebuyers across most regions.

Source: ONS

Twarda 16A in Warsaw sold in landmark real estate deal

The prominent office and retail property at Twarda 16A in Warsaw has officially changed hands in one of the capital’s most noteworthy real estate transactions of the year. The sale marks a significant moment for the Warsaw property market, reflecting continued investor interest in prime assets in central locations.

Located in the heart of Warsaw’s Śródmieście district, just steps from the city’s main business and cultural hubs, Twarda 16A has long been regarded as a desirable address. The building combines office space with ground-floor retail units and boasts excellent accessibility thanks to its proximity to major public transport lines, including the nearby Rondo ONZ metro station.

Although the identity of the buyer has not yet been publicly disclosed, sources close to the transaction confirm that the new owner is an institutional investor with an established presence in Central and Eastern Europe. The acquisition is understood to be a strategic addition to a growing portfolio of urban commercial properties.

The seller, a private investment group, had held the property for several years, during which time it maintained a high occupancy rate and secured several long-term tenants. The sale follows a broader trend in Warsaw’s commercial real estate market, where centrally located, income-generating assets continue to attract strong interest from both domestic and international buyers.

Real estate analysts view the transaction as a positive signal for Warsaw’s property sector, which has remained resilient amid economic fluctuations. “This deal highlights sustained demand for well-positioned office and mixed-use properties in the city centre,” said one local expert. “Despite evolving workplace trends, central locations with strong infrastructure and tenant appeal remain highly liquid.”

Further details of the transaction, including the purchase price and the buyer’s future plans for the property, are expected to be announced in the coming weeks.

Twarda 16A continues to serve as a symbol of Warsaw’s dynamic real estate market, blending functionality, location, and long-term value.

Blue City welcomes four new tenants in March, expanding retail and service offer

Warsaw’s Blue City Shopping Centre in the Ochota district has welcomed four new tenants this March, adding a total of 400 square metres of retail and service space. The latest additions include a mix of well-known chain stores and local entrepreneurs, further strengthening Blue City’s diverse offering and its appeal to a wide customer base.

Among the newcomers is NANU-NANA, a German decoration and gift shop chain known for its trendy home accessories and creative gift ideas. The new store, spanning 150 square metres, is the brand’s third location in Warsaw. “Opening another store in the capital is a direct response to high customer demand on social media,” said Martin Paprotny, CEO of NANU-NANA. “We believe Blue City is the ideal location and expect our new shop to quickly become a favorite shopping destination.”

Also joining Blue City is KODANO Optyk, a Polish optical chain offering prescription glasses, sunglasses, and contact lenses at competitive prices. The store also provides professional eye examinations on site. This is KODANO’s 13th location in Warsaw and covers approximately 90 square metres. “Our store in Blue City represents the newest design concept focused on customer comfort and a modern shopping experience,” said Karol Kożusznik, Member of the Board and Director of Expansion and Development at KODANO Optyk.

Blue City also saw the arrival of Dusza, a local women’s fashion boutique. With a 80-square-metre space, this is Dusza’s fourth outlet in Warsaw. The boutique offers a wide range of stylish and elegant clothing, from jackets and coats to sweaters and trousers, catering to women who value fashionable looks at accessible prices.

Adding to the shopping centre’s services, O!Fryzjer hair salon opened its doors with an 80-square-metre space dedicated to comprehensive hairdressing services for both women and men. The salon offers everything from cutting and coloring to styling and cryotherapy treatments – one of the few places in Warsaw to do so. Skilled barbers and stylists are on hand to ensure a premium grooming experience for all clients.

Anna Gut, Leasing Director at Blue City, expressed satisfaction with the latest additions. “Leasing activities are progressing as planned. The new tenants are a perfect fit for our customer base, bringing fresh fashion, design, and lifestyle options. This expansion not only enhances the shopping experience but also broadens the centre’s reach,” she said.

With around 200 tenants and a 97% occupancy rate, Blue City continues to solidify its position as one of Warsaw’s most vibrant retail destinations.

Czech Republic’s foreign debt rises to CZK 5.27 trillion, driven by business and bank borrowing

At the end of 2024, the Czech Republic’s foreign debt reached CZK 5.271 trillion, representing an increase of CZK 460.4 billion year-on-year and accounting for 65.8 percent of the country’s gross domestic product. According to preliminary data released by the Czech National Bank (CNB), foreign debt rose by CZK 92.9 billion in the final quarter of the year alone. Foreign debt refers to the total liabilities with fixed maturity held by domestic entities toward foreign creditors.

The year-on-year increase was primarily driven by the private sector, especially businesses and banks. According to Petr Dufek, chief economist at Creditas Bank, higher domestic interest rates motivated Czech companies to seek financing abroad. Meanwhile, banks attracted foreign investors and savers to deposit Czech crowns in local accounts.

Despite the sharp rise, Dufek views the current level of foreign debt as safe. He noted that it is adequately covered by the CNB’s foreign exchange reserves and that the structure of the debt remains stable, with long-term liabilities making up a slight majority.

Private sector obligations made up 77.2 percent of the total foreign debt. The remaining portion included public sector liabilities, such as government-guaranteed debt and commitments by state-controlled entities. In the fourth quarter of 2024, the banking sector (including the CNB) and other non-government sectors increased their foreign borrowing, while general government debt decreased.

The CNB reported that the increase in bank debt was largely due to growing demand from foreign investors for bank bonds. The banking sector accounted for 37.8 percent of total foreign debt, while other non-government sectors represented 46.3 percent. Much of the increase stemmed from long-term loans secured by Czech companies from foreign lenders, as well as a smaller contribution from foreign investors purchasing corporate bonds.

On the other hand, the foreign debt of the general government dropped by CZK 38.1 billion in the last quarter of the year, mostly due to foreign investors selling off Czech government bonds. By the end of 2024, the public sector’s share of total foreign debt stood at 15.9 percent.

In terms of financial instruments, the most common forms of foreign debt were deposits and intercompany loans, making up 52.1 percent of the total. Looking at maturity, debt with original terms longer than one year represented 50.3 percent of all foreign liabilities.

Source: CNB

Czech real estate market rebounds in 2024 with strong demand for new housing

The Czech real estate market stabilized in 2024 after several years of uncertainty and has started to show signs of gradual growth, according to the Trend Report 2025 published by the Association for the Development of the Real Estate Market (ARTN). The report, obtained by the Czech News Agency, highlights rising demand for new apartments, increasing property prices in Prague, and varying levels of activity across different real estate segments.

One of the key factors contributing to the positive market shift was the stabilization of inflation and a decline in interest rates. These macroeconomic improvements sparked renewed interest in rental housing, as well as industrial and logistics properties, which the report describes as resilient investments during periods of economic fluctuation. In total, real estate investment volume in 2024 reached €1.8 billion (approximately CZK 45 billion), marking a 23 percent year-on-year increase. Notably, investment activity in the final quarter of 2024 more than tripled compared to the same period the year before.

Sales of new apartments saw a significant jump. In Prague, 7,200 new units were sold last year—an 80 percent increase year-on-year. Despite the strong demand, limited supply caused prices to rise, with the average price per square meter reaching CZK 156,828, a 10 percent increase from 2023. Similar growth trends were seen in the regions outside Prague, where 8,256 new apartments were sold, up 60 percent from the previous year. In the fourth quarter alone, 2,207 units were sold in the regions, reflecting a 45 percent annual increase. The average price per square meter in regional markets climbed by 4 percent to CZK 101,738.

In the office market, new supply in Prague dropped significantly. Only 72,800 square meters of new office space were completed in 2024—26 percent less than in 2023 and well below the 10-year average of over 120,000 square meters. ARTN predicts an even lower figure for 2025, with just under 25,000 square meters expected to be completed—marking a record low for the capital. Key upcoming projects include PernerKa and the first phase of E-Factory in Prague 9, as well as the reconstructions of the NR7 and VN62 office buildings in the city center.

The retail sector benefited from stabilizing consumer spending, which grew year-on-year. Most of the new retail space was developed in retail parks, while investment in the sector is increasingly focused on modernization rather than new construction. A notable trend is the expansion of Czech e-commerce businesses into foreign markets, including Western Europe and beyond.

The industrial real estate segment saw a decline in activity. Only 517,900 square meters of industrial space were completed in 2024, representing a 45 percent decrease from the previous year. Demand was the lowest since 2018 and fell 20 percent below the five-year average. However, ARTN notes that development activity is expected to pick up again, with roughly 5.9 million square meters of new industrial space currently planned for construction in the coming years.

The report concludes that, while the real estate market is still navigating the aftermath of recent economic shifts, the foundations for renewed growth are being laid across several key sectors.

Sources: ARTN, CSO and CTK

Electronics retailer Okay declared bankrupt by Brno court

The electronics retailer Okay, based in Brno, has officially been declared bankrupt. The decision was made by the Regional Court in Brno following a bankruptcy petition filed by the company itself, as confirmed by documents in the insolvency register. Creditors now have two months to submit their claims, and a court hearing has been scheduled for 10 September. According to the company, its total debt amounts to approximately CZK 700 million.

So far, three creditors have registered claims, with one of the largest being UniCredit Bank, which is seeking nearly CZK 114 million. The bank has also challenged the appointment of AS Zizlavsky as the insolvency administrator, questioning the company’s impartiality. UniCredit noted that the same administrator was proposed in the insolvency case of Alfa-Rent Tessera, another company within the Okay holding structure. The bank expressed concerns that the administrator may act in favor of the debtor rather than prioritizing the interests of creditors, and also raised issues about changes in the reported extent of the debtor’s assets.

Okay, owned by entrepreneur Jindřich Životský, has been a familiar name in the Czech electronics market for nearly 30 years. At its peak, the company operated 80 brick-and-mortar stores across the country. However, it struggled to adapt to the shift toward online retail and began facing serious financial challenges in 2021. A restructuring plan that aimed to continue operating through an e-shop and wholesale business ultimately failed. The company closed its last physical store on 25 January.

Poland accelerates deregulation to boost economy and cut red tape

The deregulation process in Poland is accelerating, with Prime Minister Donald Tusk meeting representatives of the public and the Government Deregulation Team to assess progress and discuss further simplification efforts. The Prime Minister emphasized that 90 percent of the proposals submitted by the social side are either being implemented or under active discussion. This collaborative approach aims to eliminate unnecessary barriers and improve the business climate for entrepreneurs.

In March, the Council of Ministers approved the first governmental deregulation package, introducing over 40 significant legal and administrative simplifications. These changes were developed in cooperation with a team led by entrepreneur Rafał Brzoska and will be incorporated into government legislation. The measures are designed to make it easier to run businesses, reduce formalities for citizens, and increase transparency in governance.

During the meeting, Prime Minister Tusk highlighted the cyclical nature of regulation, pointing out that governments often introduce more laws until there’s a realization that deregulation is needed. He praised the sense of unity and shared interest among lawmakers and social partners, which is helping to push the reform process forward.

Minister Maciej Berek, who leads the Government Deregulation Team, has received more than 100 simplification proposals from the social side. These changes span a range of public interest areas and consider the needs of vulnerable groups, such as people with disabilities or those facing financial hardship. Tusk noted that while 8 percent of the suggestions were deemed unfeasible due to fiscal concerns, the vast majority—over 90 percent—are viable or in development.

Rafał Brzoska reported that over 13,000 suggestions for regulatory changes have been collected, 70 percent of which came from ordinary citizens. The remaining 30 percent originated from the business community. His team has identified seven key areas for simplification: healthcare, tax law, the judiciary, digitalization, energy, EU law, and national security.

The goal is to submit 300 practical and effective proposals by June 1. Brzoska urged lawmakers not to delay and to begin legislative work in May. Among the most anticipated proposals are the presumption of innocence for taxpayers, non-punishment for unintentional errors, clearer interpretations of tax laws, and the introduction of automated processes where offices fail to respond within legal timeframes. Other initiatives include expanding e-services through the mCitizen platform and eliminating redundant data requirements for citizens.

Prime Minister Tusk praised the transparency and civic engagement behind the deregulation initiative, calling it a “political and social experiment” that is proving effective. Minister Berek echoed this sentiment, noting that a shared goal of public interest has allowed both the government and society to create a strong and efficient partnership. Every ministry is expected to quickly review and respond to relevant proposals.

On the operational side, Adam Malinowski, representing the social team, explained that 15 project managers and hundreds of experts are involved in reviewing and submitting dozens of proposals each week. So far, 1,500 individuals have volunteered to participate in the project. Over 130 initiatives have been published on the dedicated public platform, and more than 100 have already been submitted to the government for evaluation.

The deregulation effort also extends beyond national borders. Poland is working with entrepreneurs to streamline regulations at the EU level. Prime Minister Tusk announced that Poland and its partners are preparing recommendations for EU law changes. The European Commission has already pledged to withdraw 40 legislative acts as part of its first wave of deregulation.

These European-level decisions, expected in June 2025, aim to reduce costs for small and medium-sized enterprises by 30 percent, enhancing competitiveness across the continent. This initiative aligns with conclusions from the recent European Council summit held on March 20–21.

Deregulation remains a cornerstone of the Polish government’s strategy to stimulate economic growth, improve administrative efficiency, and make life easier for both businesses and citizens. Future steps will continue to be developed in close cooperation with the public, ensuring broad-based support and lasting impact.

One-room apartments most expensive as demand for holiday homes falls in Slovakia

The Slovak real estate market experienced a notable revival in 2024, with property prices climbing again after two years of stagnation. According to the National Bank of Slovakia (NBS), prices rose by 6.7 percent year-on-year, a surge attributed to cheaper mortgages and an increase in VAT to 23 percent. The NBS views this as a gradual correction following previous market declines.

However, not all property types benefited equally. One-room apartments saw the highest price increase, jumping by 12 percent. In contrast, demand for holiday homes and cottages has dropped significantly, marking a stark shift in buyer preferences.

The strongest demand was recorded for new developments and well-renovated apartments, particularly two-room units in Bratislava and its surrounding areas. Zuzana Klačanová, owner of the UPgreat HOME real estate agency in Bratislava, noted a surge in interest across the city centre, where buyers are increasingly seeking properties of all sizes. Her observations are echoed by Stanislav Lindák of UPgreat ELEGANCE in Šamorín, who confirmed high demand for two-room flats from both young families and property investors.

In other regions, such as Nové Mesto nad Váhom, three-room apartments suitable for immediate occupancy are most sought after, according to Miroslav Švehla, head of the UPgreat NAMAX office. He adds that more affordable properties, including older brick apartments, also show significant potential.

Real estate experts agree that access to mortgages remains the key driver of demand. Buyers’ ability to secure financing depends largely on income, limiting some from affording larger or newer properties. Švehla points out that credit conditions continue to shape the market, with two-room apartments proving the most accessible choice for young couples and families amid rising living costs and interest rates.

Lindák adds that these smaller flats have become a practical housing solution due to recent increases in the subsistence minimum and house prices. Investors share a similar outlook, with Klačanová confirming that one-room apartments currently represent the most attractive and profitable investments in Bratislava.

While smaller units are thriving, holiday and recreational properties are experiencing a downturn. The COVID-19 pandemic had inflated their value significantly—often doubling prices—but these levels are no longer sustainable. Owners now struggle to sell for what they paid, and similar depreciation trends are emerging in family houses around Bratislava.

Experts believe that further interest rate cuts could shift demand toward larger apartments, making three- and four-room flats more affordable to a wider pool of buyers. For now, properties in city centres—especially in larger urban areas—remain the most stable in terms of value, thanks to consistent demand for both living and investment purposes.

Developers are already responding to these market shifts by focusing on more affordable housing options and prioritising energy-efficient, modern residential units aligned with ESG standards. These evolving preferences suggest that the prices of new developments will likely continue to rise in the near future.

Source: SITA

« Previous 1 … 237 238 239 240 241 … 381 Next »

Latest news

All posts by fletcher@cijeurope.com.