What's causing Europe's housing crisis?

The video titled "What's causing Europe's housing crisis?" published by Roundtable discusses the escalating housing crisis across Europe, highlighting how soaring costs of living and house prices are affecting lower-income households. With views exceeding 7,300, the video features a panel of experts who delve into the underlying causes and consequences of this urgent issue.

The discussion starts with a stark reality: the high cost of housing has pushed homeownership out of reach for many, particularly in major cities. Rental prices are also increasing drastically, leading to a situation where younger generations may face fewer opportunities than their parents. For instance, in Lisbon, protests have erupted over soaring rents and housing prices, indicating a widespread sense of urgency and frustration among affected residents.

Notably, house prices in Europe have surged by 50% since 2010, while rents have climbed by 19%. This disparity illustrates the disconnect between housing costs and local salaries. Essential workers, such as teachers and firefighters, are increasingly unable to afford housing, forcing many to make difficult choices between basic necessities like warmth and rent.

The panel includes Sorcha Edwards, Secretary General of Housing Europe; Manjinder Kaur Atwal, Director of Housing and Property Litigation at Duncan Lewis Solicitors; and Rory Hearne, Associate Professor in Social Policy at Maynooth University. They emphasize the need for a fundamental rebalancing of the housing system, advocating for increased investment in social and public housing to address homelessness and overcrowding.

Experts argue that governments have increasingly abandoned their responsibility to invest in social housing, leading to a severe shortage of affordable options. In Belgium, for instance, despite a significant number of people eligible for social housing, only a small percentage currently have access, exacerbating the crisis.

The societal implications are profound, with 46% of people living in rental accommodations fearing economic loss of their homes. This fear not only impacts individuals but also poses a risk to the broader social fabric and economy. The panel discusses how the crisis is not only a housing issue but a looming political challenge, especially in upcoming elections.

Rory Hearne asserts that the right to housing should be recognized as a fundamental human right, aligning with United Nations guidelines. The current crisis has led to what he describes as a "generation stuck at home," where more young adults are unable to leave their parental homes due to financial constraints.

The experts call for a coordinated European response to these challenges, with the EU ministers recognizing the common trends in housing issues across member states. They emphasize the need for coherent policies that support affordable housing and address the growing marketization of housing, which has often prioritized private interests over public welfare.

The discussion concludes with a call for local authorities and governments to prioritize housing as a public good, akin to healthcare and education. The experts advocate for innovative solutions, including better utilization of existing properties and the construction of new affordable housing to alleviate the crisis.