“300,000 employees will be out of business by mid-2025 if nothing is done,” warns the president of the FFB

Olivier Salleron is the president of the French Building Federation, La FFB, which represents more than 50,000 companies in the sector. The government has revised its growth forecast downward for this year. He wants to control his deficit and to do this, he will make 10 billion euros in additional savings. All ministries are concerned, some more than others. Among the examples which concern the building directly, the aid envelope to better heat and better insulate housing.

franceinfo: MaPrimeRénov’ is revised downwards. In my opinion, there were additional credits planned. What was your reaction ?

Olivier Salleron: My initial reaction was formal anger in fact. Basically, we know that MaPrimeRénov’ for a year has been a little complex, so it has not worked as it should have worked in 2023. So there are credits available. It was enough to talk about the operations and the employers’ organizations, including obviously myself, with the FFB, who worked last week on a simplification of MaPrimeRénov’ to say: “Well, look, we’re going to say that 3 billion euros for next year is enough and we’re going to work on that.” We spent 1.6 billion, you see, it was still double MaPrimeRénov’. I believe it is a communication problem from the Minister of the Economy. It’s a shame. We missed something. I can tell you that our businesses and our craftsmen were greatly disappointed, moreover, with this announcement.

When you say the form, is it because you learned of the Minister of the Economy’s announcements on the news?

Listen, I believe there is an emergency today at the economic level, and we completely understand the government on this. But we are partners, we are faithful, constructive partners. For several years, we have been able to say this. We have overcome between five and six crises since Covid, in a responsible and constructive manner. I believe that we have all the legitimacy to work with us and not announce things like that at the last minute, because we agree, I was going to tell you, at level of MaPrimeRénov’, on 90% of things. As you know, it is the construction companies that work extremely expertly on this. We must continue, but obviously hand in hand with the government.

In terms of form, it doesn’t work for you. Basically, in fact, several hundred million euros remained in the envelope at the end of 2023. This means that there is something to review. What do we have to do ? Have you already, in your discussions with his ministers, including the new Minister of Housing, noted several things?

We had settled this three days before with Ministers Béchu and Kasbarian, together with three very important measures which were put in place, which we wanted. The government press release was issued a few minutes later, hence our disappointment. On the other hand, it shows something, which is that MaPrimeRénov’ is a good solution. Out of 700,000 files, yes, and there were almost 30,000 bugs and that’s too many. But in any case, it is not a bitter failure as one might have thought and as some say.

So, there will be simplification?

Exactly a simplification. We have a Rénov’ guide, that is to say someone who will accompany households to do their work. We asked for it because we are against illegal work. And you know, the margoulins, the crooks who have been rampant with all these things about energy renovation, well, we are going to have this Rénov’ guide. The bottom line is that today, unfortunately, there are not enough of them since January 1st. So they will take care of certain categories of households, including the modest and very modest who need it the most. And the others, the intermediate households, will keep the same structure as last year and therefore will be controlled like the others. And little by little, the Rénov’ guide, that is to say at the end of 2024, will be reintroduced for everyone. And that’s an excellent thing. I say it, we are not going to save the planet in a week. We must put in place measures that are both acceptable to our customers, but also to businesses.

We talked about the built, but there is also the new. When you read the housing section of the Building Federation, things are not going well at all. We are falling from Charybdis to Scylla, we read in a press release, with a cataclysmic year 2023, I quote, and 2024 which will not look any better.

Exactly. These are my words a few weeks ago, with all these figures. I think it’s a broken record because I’ve been talking about this coming catastrophe for two years. Well, that’s it, new housing has been hit hard since the end of last year. Unfortunately, the promoters have already brought one or two knees to the ground. But the biggest problem is construction companies which represent 1,600,000 workers. Today, we have already lost 10,000 jobs at the end of December. Unfortunately, we expect another 90,000 before the end of the year, because it’s mathematical. When there is no building permit, when there is no investment by French households in individual houses or collective housing, there is no work. So, unfortunately, companies will go down on their knees, several tens of thousands. And I tell you and I repeat it again, 300,000 employees will be left behind if nothing is done in the coming weeks, mid-2025. And that is dramatic. It is the social aspect that is affected.

What can be done? What do you think should be done then?

In fact, there is a conjunction of five or six factors which today require intervention that is both budgetary of course, but above all very psychological because the French want housing, the French want individual houses, the French want to invest in the stone. It just takes a little click for everything to start again, the rebound is not far away. Interest rates are stagnating. I hope they will go down. The president of French banks thinks that there is also a negotiation to be done. So I say to our fellow citizens, start pushing the doors of the banks again and go negotiate loans. Now, we need a little help from the State, for example with a preferential loan for first-time buyers, or also to replace this famous Pinel which no one wants anymore with another status so that the French who have a little more means can invest in housing to rent it to more modest French people. Today, 90% of the stock is private housing which is rented to our most modest citizens. There, we really need to make a huge effort in the coming months.

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