Europe’s housing crisis is fuelling the rise of the far right. Our research shows how to address it

The article published by The Guardian addresses Europe’s housing crisis and its implications for the rise of far-right political movements. Authored by Tarik Abou-Chadi, Silja Häusermann, and Björn Bremer, the piece highlights how escalating housing costs are impacting households across Europe, particularly in light of stagnant incomes and soaring property prices.

Housing costs have increasingly become a significant burden for many European households, affecting both buyers and renters. Over the past decade, property prices have surged beyond the growth of incomes in various countries, with rent increases felt not only in major cities but also in suburban areas and smaller university towns. This crisis in affordability is notably absent from the agenda of progressive political parties, with a common focus on merely increasing housing supply rather than addressing underlying issues.

Far-right parties, such as the Freedom Party (PVV) in the Netherlands and Chega in Portugal, have effectively politicized the housing affordability crisis by advocating for housing to be made available only to nationals. This approach contrasts sharply with the progressive parties, which often fail to engage with housing as a critical social issue.

European countries differ considerably in their housing organization, with home ownership being the predominant form in many regions. However, increasing unaffordability has led to a rise in renting, especially among younger populations. The article contrasts two paradigms: viewing housing as an asset for financial returns versus recognizing it as a social right. The latter has been eroded over time, resulting in significant grievances among the populace and contributing to the rise of radical right-wing parties.

To reclaim the housing issue, progressive parties must recognize it as a matter of distribution and social rights, rather than just a competition over who can build more homes. A successful progressive housing agenda should focus on making housing affordable, secure, and non-speculative. This includes reinvesting in social housing while ensuring broad access to avoid stigmatization.

The article emphasizes the need for a dual approach that addresses both housing supply and distribution. The current focus on “build, build, build” overlooks the problem of under-occupation in existing housing stock, which rivals overcrowding in many countries. Policies must incentivize the redistribution of space while also accommodating demographic shifts.

Increasing housing density is essential but must prioritize social inclusion and environmental sustainability. Public acceptance of densification is linked to how well it is designed and implemented, particularly when it involves participatory governance and protects local amenities.

A robust progressive housing agenda requires significant public investment. The article points to examples like Austria, where dedicated housing funds are supported by modest levies and reinvested profits. Additionally, strategic collaboration with private investments through regulations can help align market activities with social goals.

The far right has capitalized on progressive parties' neglect of housing issues, often blaming immigrants for scarcity. This narrative persists because center-left solutions typically lean towards market-based approaches rather than addressing the root causes of housing inequality.

The article concludes by stressing that housing is fundamentally a question of distribution and social rights. A successful progressive housing agenda must challenge the current paradigm of viewing housing as merely an asset for wealth accumulation and advocate for broad coalitions to support sustained public investment in affordable housing.