European Affordable Housing Plan – Response to Call for Evidence

European Affordable Housing Plan – Response to Call for Evidence

The European Affordable Housing Plan (EAHP) response was created by the European Environmental Bureau (EEB), an international non-profit organization based in Brussels, Belgium. This response addresses the pressing issue of unaffordable housing across the European Union (EU), which has become increasingly critical due to various socio-economic factors, including the COVID-19 pandemic and the ongoing cost of living crisis.

The report highlights that 8.8% of the EU population spends over 40% of their disposable income on housing, with house prices having risen by 37% and rents by 16% between 2010 and 2021. The situation is exacerbated by a youth homelessness crisis, particularly in cities like Madrid and Dublin, where homelessness rates among young citizens have increased dramatically. Furthermore, about 75% of existing buildings in the EU are energy inefficient, leading to high energy bills and poor living conditions, which are detrimental to public health—resulting in annual public health costs of around €194 billion.

The building sector is identified as the most environmentally impactful sector within the EU, contributing to nearly one-third of Europe’s environmental footprint and around 42% of the EU’s annual energy demand. The report emphasizes the necessity for urgent action to address the interconnected issues of housing affordability and environmental sustainability.

The EEB advocates for a comprehensive approach to the EAHP, prioritizing "sufficiency"—ensuring that all individuals have access to safe, healthy, and affordable housing that meets their needs. It warns against simplistic solutions that may worsen the housing crisis, such as indiscriminately increasing construction without considering social safeguards.

The EEB recommends several strategies to improve housing availability and affordability: 1. Efficient Use of Existing Buildings: This includes improving data on building usage, incentivizing the reintroduction of vacant buildings, and prioritizing renovations and retrofitting. It notes that 16% of EU dwellings were vacant in 2011, with significant potential for underoccupied homes to accommodate an additional 100 million people. 2. Long-Term Affordability: Measures should be taken to alleviate energy poverty, such as promoting energy renovations and reducing reliance on fossil fuels. The report stresses that sustainable construction can lower lifecycle costs while enhancing energy efficiency. 3. Investment in Renovations: A portion of the investment platform for affordable housing should be dedicated to renovating and repurposing vacant properties into energy-efficient units, focusing on vulnerable households. 4. Promoting Efficient Space Usage: Encouraging tenants to move to appropriately sized dwellings and providing incentives for adaptations can free up living space.

The response concludes that the EAHP must address the root causes of affordability and sustainability crises in housing. By investing in sustainable housing, the EU can achieve multiple strategic targets while ensuring that vulnerable populations are protected from rising housing costs and energy poverty. The EEB calls for a collaborative, evidence-based approach to develop effective policies and promote community-led housing models.