Housing Crisis in the European Union

The "Housing Crisis in the European Union" document was created as part of the European Parliament's efforts to address pressing social issues within the EU framework. The document outlines the significant challenges posed by the housing crisis, which has seen 10% of EU households spending over 40% of their income on housing. This document is publicly available and was uploaded to the European Parliament's database on July 25, 2025.

The housing crisis in Europe is a complex and escalating issue, primarily managed through national policies, while the EU provides a foundational framework that supports internal market, social, cohesion, and environmental policies. The European Pillar of Social Rights (EPSR) and the Renovation Wave strategy have been pivotal in promoting initiatives aimed at combating homelessness and ensuring access to affordable housing.

The legal basis for EU actions in the housing sector includes Article 3(3) of the Treaty on European Union (TEU) and various articles from the Treaty on the Functioning of the European Union (TFEU). These provisions emphasize the promotion of economic, social, and territorial cohesion, as well as the need for decent housing and social protection.

The EU aims to combat social exclusion and improve living conditions through various articles in the TFEU, which highlight the importance of decent housing as a fundamental right. The EU’s commitment extends to public health and the well-being of its citizens, reinforcing the link between housing conditions and health outcomes.

The EPSR established 20 principles regarding citizens' rights, including the right to housing and protection against homelessness. The EPSR action plan, introduced in March 2021, outlines specific actions to reduce homelessness by 2030 and supports the establishment of the European Platform on Combatting Homelessness.

Launched as part of the European Green Deal, the Renovation Wave strategy aims to enhance energy efficiency in buildings, which account for 40% of the EU's energy consumption. The initiative seeks to double energy renovations by 2030 and achieve a decarbonized building stock by 2050, addressing energy poverty and ensuring access to safe housing for all.

The European Commission's Political Guidelines for 2024-2029 have prioritized the housing crisis, appointing a dedicated Commissioner for housing and outlining the European Affordable Housing Plan set to be introduced in early 2026. The establishment of a Housing Task Force and collaboration with the European Investment Bank aims to create financial opportunities for affordable housing across Europe.

The European Parliament has been active in shaping housing policies. Resolutions addressing energy efficiency, access to decent housing, and the regulation of short-term rentals have been crucial in promoting healthier living conditions. The establishment of the Special Committee on the Housing Crisis reflects the urgency of tackling these issues and aims to provide actionable solutions.

Overall, the document underscores the urgent need for coordinated efforts at both the EU and national levels to address the multifaceted housing crisis, emphasizing sustainable practices and social inclusivity in future housing initiatives.