After the storms, botched work will now flourish

After the recent storms, the insurance industry is expecting massive damages. According to the Insurance Association (VVO), damages worth up to 600 to 700 million euros are expected. In extreme cases, the billion-euro mark could even be broken.

The Linz economist Friedrich SchneiderProfessor at the Johannes Kepler University Linz, estimates the Total damage from the floods amounts to around 1.5 billion eurosHowever, this estimate is Uncertainty of plus/minus 20 percentadded Schneider. According to this, the damage to houses, cars and infrastructure should be between 1.2 and 1.8 billion euros.

Undeclared work will increase by 250 million euros

The recent storms have not only caused billions of euros in damage, but will also boost illegal work in the coming months, Schneider said in an interview with APA.

Undeclared work will increase by 250 million euros in the next six months – from October to March next year, said Schneider.

The economist has so far estimated the total turnover of undeclared work this year at 34.52 billion euros. This means that the value should rise to 34.77 billion euros within 12 months.

However, according to Schneider, this estimate assumes that the victims will receive the aid of 500 million euros promised by the EU. “If the money does not reach those affected, the undeclared work will continue to increase,” added the economist.