Living Cities: A peek at the EU’s Affordable Housing Plan

Publisher POLITICO, known for its in-depth political analysis, presents insights into the European Union's anticipated housing strategy through the work of author Aitor Hernández-Morales. This plan aims to address soaring housing prices and rental costs throughout Europe, responding to the urgent need for affordable housing solutions.

Housing Commissioner Dan Jørgensen has detailed measures targeting the financialization of housing. He argues that homes are increasingly treated as commodities for profit, similar to gold. Jørgensen emphasizes the necessity of regulating the market to prioritize societal needs over mere profit-making. He acknowledges potential pushback from Parliament members but insists that regulation is essential to tackle the housing crisis effectively.

The plan includes revisions to state aid regulations, enabling national governments to allocate public funds for constructing homes for middle-class citizens who have been priced out of the market. However, Jørgensen stresses that public funding alone will not suffice; public-private partnerships will be crucial. He is collaborating with the European Investment Bank and other financial institutions to ensure that homes built with public funds remain genuinely affordable.

Short-term rentals are identified as a significant contributor to rising housing costs. While specific measures regarding tourist flats have yet to be disclosed, Jørgensen's statements indicate a strong stance against the commodification of neighborhoods, which detracts from local social life and democratic engagement.

The upcoming plan is likely to offer best practice recommendations for city officials. Jørgensen cites Copenhagen's policy mandating that 25% of new housing developments be designated for public or social housing. He illustrates that affordable public housing can coexist with high-end real estate, highlighting that quality does not necessarily correlate with cost. The responsibility of the private sector to contribute to affordable housing is framed as a political choice.

While no specific date has been confirmed, Jørgensen aims to unveil the plan ahead of schedule, potentially in mid-December, just before the European Council summit where leaders will discuss the housing crisis.

In other news, ex-Barcelona Mayor Ada Colau was detained while participating in humanitarian efforts for Gaza, provoking protests across major European cities. Meanwhile, green mayors from various capitals have gathered in Brussels to demand direct EU funding for urban projects, expressing concern over the European Commission’s budget proposal for 2028-2035 that centralizes funding control with national governments.

The Commission has adopted a progress report on the European Declaration on Cycling, indicating advancements in cycling infrastructure, though challenges persist in providing safe parking and charging stations for e-bikes.

Recent analyses reveal a dramatic increase in extremely hot days across European capitals, highlighting an urgent need for effective strategies to combat climate-related health crises. The Barcelona Institute for Global Health reported over 62,000 heat-related deaths in Europe during a recent summer.

In Ireland, candidates for the presidency have debated the housing crisis, with independent lawmaker Catherine Connolly attributing the issue to the cessation of public housing construction. She advocates for a fundamental shift away from market dependence in housing policy, framing access to housing as a fundamental human right.