According to a recent study by the Fundación Colegio Libre de Eméritos Universitarios around a quarter of Spain’s construction companies have closed shop. A total of 170,000 companies in the construction industry have closed their companies during the years 2008 and 2009.
The majority of all closures (63.5 per cent, around 108,000 companies) have closed in the past year. The study also reveals how during the years 1999-2009, 17 per cent of all 4 million new companies created were in the construction industry.
“Thereafter, and as a result of the bursting of the ‘housing bubble’, the rate of change in construction has declined more strongly than in the rest of the economy,” says the study.
The study also criticised the Ministry of Development for reducing its infrastructure budget by 6.4 billion euros.