In the last 12 years, housing prices in the European Union have increased on average by just over 60% and rents by almost 30%. Access to affordable housing for Europeans is becoming increasingly difficult, and Dan Jørgensen, European Commissioner for Energy and Housing, has already spoken openly about the crisis and the state of emergency. This is why the European Commission has drawn up an action plan, for the first time covering this marketplace at Community level.
– Many Europeans, seeing how much housing is missing, would like it to be a small centralised, by the European Commission or the European Parliament. On the another hand, we are in a free marketplace area where request and supply form prices. Indeed, homes are frequently inaccessible to the young generation today, to poorer people – Says Newseria agency Elżbieta Łukacijewska, associate of the European Parliament from the Civic Coalition, from the European People's organization faction.
The plan prepared by the European Commission is simply a consequence to rising acquisition costs, but besides to real property rental across Europe, especially in large cities. An additional problem is the serious deficiency of property.
– The prices of housing are indecently high. Any backing for those who build apartments does not make these apartments cheaper. request outweighs supply in the marketplace and so developers frequently form prices from space. erstwhile we look at young families and young people, surviving for them is absolutely inaccessible, so politics should change, but for those who build alternatively than those who buy. Also, erstwhile we look at the settlements, for example in Poland, there is frequently a deficiency of green space, roads and infrastructure, which make it an accessible and modern estate, but besides family-friendly – considers Elizabeth Łukacievska.
According to the study “We are the Poles on real estate. 4th 4th of 2025" website Property-online.pl, 8 out of 10 respondents are of the opinion that current property prices are advanced or very high. 71% believe that fewer people from their surroundings can afford to buy an flat or house.
– There's a price that people should pay for a square meter, due to the fact that these prices grow to tragic heights, and I don't think anyone can tell why. possibly little earnings for those who build, more chances for those who would like to buy, but I am aware that this is not an easy subject due to the fact that we do not have a command and resolution economy, we do not have a social economy. This marketplace shapes prices, but any legislative proposals could surely make this area more user-friendly and a small cheaper – admits MEP KO.
The "European plan for affordable housing" presented on 16 December is primarily intended to increase the supply of affordable housing, which will be sustainable and advanced quality. It proposes measures for a more efficient and innovative construction and renovation sector to address the problem of housing supply mismatches with request under the European Housing Strategy. The plan aims to increase the supply of housing through fresh buildings and renovations, and thus besides reduce administrative burdens, support innovation in the construction sector, improve the energy efficiency of buildings, and thus lower bills, mobilise public and private investment.
The estimates presented indicate the request to build more than 2 million housing units per year to meet current demand. This is about 650 1000 more than is presently being built. The European Commission estimates that these additional investments will require EUR 153 billion per year.
– This discussion and the vote on housing in the European Parliament gives emergence to expectations, especially for local governments, that there will be a peculiar financial line that will support local governments and cities financially in building cheaper housing. This is not easy, but I am very pleased that the European Commission sees a housing problem in Europe and that it sets different objectives, how much more should be built, the request for simplification in public procurement and support for associate States - emphasises Elżbieta Łukacijewska.
The European Commission has mobilised more than EUR 43 billion for housing from the financial position 2021 to 1927. In the years 2026 and 2027 it plans to allocate EUR 10 billion for this purpose. The EC announced that it was developing a fresh pan-European investment platform in cooperation with the European Investment Bank, national and regional pro-development banks and another global financial institutions. By 2029, EUR 375 billion is to be mobilised by partner financial institutions.
– In the situation that we have, it is hard to anticipate an additional fund to be created, but the discussion in the European Parliament gives hope that, especially where social housing is being created, peculiar funds should follow. We are inactive working on a fresh financial perspective, and we will see what will yet be there, but the problem is simply a large 1 in all associate State. – says MEP.
According to the European Commission, only about 6-7 percent of all EU housing is social. The proposed plan implies a revision of EU State aid rules to facilitate the financial support of affordable housing resources, including social ones.
– Self-government can build social housing all the time, it's crucial that it has access to good credit lines and inexpensive areas. possibly what is in the resources of the State Treasury companies and in various institutions could be transferred to the municipality for housing purposes so that it does not gotta buy land. I'm not a specialist, so I don't want to make it up here, but I'm certain there's quite a few solutions that work in different countries and it's fun to look at them. – emphasises Elżbieta Łukacijewska.
The plan besides focuses on addressing short-term rental in areas in hard housing. According to the EC data, there was an almost 70-percent increase in short-term rents between 2019 and 2020.
– It's a good thought to limit the anticipation of renting housing in large groups for one, two, 3 days. Here we address not only the issue of access to apartments, but besides the peace, remainder of those who live around specified places with families. This problem is visible in Europe – says Euro MP from the Civic Coalition.
According to the European Parliament's study, around 4 million short-term rental offers were available on digital platforms across the EU in 2025. Eurostat data show that the number of bookings through them in 2024 reached a evidence level of 854 million overnight stays. That's 18.8% more than in 2023.
