Overview of the EU Housing Study
The European Parliament’s Policy Department for Transport, Employment and Social Affairs produced a comprehensive study titled Part 2: Mapping the housing needs in the EU, assessing the impacts of scarcity and providing an overview of relevant EU legislation. The work is authored by Alina Makarevičienė, Greta Skubiejūtė, Agnė Zakaravičiūtė and Justinas Jočys, senior researchers within the CASP (Policy Department for Transport, Employment and Social Affairs) who specialise in cohesion, agriculture and social policies. The publication, released in December 2025, synthesises extensive data on housing affordability, accessibility and quality across all Member States, with a particular focus on the consequences of scarcity for health, education and employment.
Key Findings on Housing Affordability
The study reveals that 30 % of EU households spend more than 30 % of their disposable income on rent, surpassing the EU’s affordability threshold. In the Spanish capital Barcelona, over half of renters exceed this limit, while in Dublin the figure reaches 68 % for low‑income renters. Across the Union, inclusionary zoning schemes have added roughly 850 000 new homes, yet the overall overspend remains high, indicating persistent pressure on vulnerable groups.
Impacts of Scarcity on Health and Social Outcomes
Analysis links housing scarcity to deteriorating health outcomes, reduced educational attainment and lower employment rates. In Barcelona, the prevalence of illegal short‑term tourist apartments has driven a 38 % drop in residential rental availability in some neighbourhoods, contributing to increased housing cost burdens and heightened stress‑related health issues. The report quantifies that 36 % of Barcelona households exceed the 30 % income‑to‑housing cost ratio, rising to 54 % for renters and 68 % for low‑income renters.
EU Legislative Landscape
The document outlines the EU’s legislative framework, highlighting the European Commission’s directives on energy‑efficient buildings, the EU’s rent‑control recommendations, and the role of funding programmes such as the European Regional Development Fund in supporting affordable housing projects. It also references national implementations, for example Ireland’s Affordable Housing Act 2021 and Poland’s Mieszkanie Plus initiative, illustrating how EU policy is transposed at Member‑State level.
Best‑Practice Case Studies Across the Union
Eight detailed annexes present case studies from Barcelona, Dublin, Freiburg, Helsinki, Rankovce (Slovakia), Sicily, Vienna and Warsaw. Highlights include:
- Barcelona’s integrated strategy combining special urban plans for tourist accommodation, inclusionary housing requirements (30 % of floor area) and municipal acquisition programmes, which together increased affordable dwellings from 7 812 in 2015 to 14 420 in 2023 (an 85 % rise).
- Dublin’s Housing for All plan, which allocated 10 552 additional social homes between 2022‑2026, complemented by cost‑rental schemes.
- Freiburg’s low‑energy standards limiting annual heating demand to 65 kWh m⁻², achieving a 60 % reduction in residential energy use and delivering over 50 Passive‑House units.
- Helsinki’s Housing First model, reducing long‑term homelessness from 3 500 people in 2008 to 1 000 by 2020 (a 71 % decline).
- Rankovce’s “From a shack to a 3E house” programme, which formalised tenure for 37 Roma families between 2013‑2017 and introduced staged micro‑loans tied to construction milestones.
- Sicily’s symbolic‑price schemes (‑€1 homes) that have transferred roughly 800‑900 abandoned dwellings back into use, stimulating local renovation markets.
- Vienna’s large‑scale cost‑rent model, delivering about 420 000 regulated homes (≈ 43 % of all residences) and maintaining rents roughly one‑third of comparable Western European cities.
- Warsaw’s Mieszkanie Plus effort, which, despite limited delivery in the capital, has generated cost‑based rentals 20‑40 % below market rates where implemented.
Economic and Fiscal Implications
The study estimates that EU‑wide overspending on rent results in an annual fiscal burden of billions of euros in health‑care, social assistance and lost productivity. In Barcelona, municipal investment in affordable housing (‑€847 million 2016‑2023) yielded a cost per new unit of €185 000, substantially lower than the €275 000 average for new construction. In Helsinki, cost‑rent rents average €5.20 m² month⁻¹ versus €12.80 m² in the private market, illustrating the fiscal efficiency of regulated tenancies.
Sustainability and Energy Efficiency
Across the case studies, energy performance emerges as a central pillar. Freiburg’s districts achieved heating consumption of 42‑48 kWh m⁻² year⁻¹, a 26‑35 % improvement over the design target, while Vienna’s inclusionary zoning links new development to energy‑efficient standards. The EU’s “Nearly‑Zero‑Energy Buildings” directive underpins these efforts, encouraging member states to adopt stringent performance thresholds for new housing stock.
Concluding Perspective for a Pan‑European Audience
The report underscores that coordinated EU legislation, robust national funding mechanisms and locally tailored interventions can mitigate housing scarcity while advancing sustainability goals. Key data points—‑30 % of households overspending on rent, 850 000 new homes from inclusionary zoning, and significant health and fiscal savings from affordable, energy‑efficient housing—provide a factual basis for policymakers, planners and stakeholders seeking to promote resilient, sustainable housing across Europe.