Source: European Investment Bank
Teresa Ribera, European Commissioner for a Clean, Just and Competitive Transition, insisted that Europe should stick to its core values, even at a time when the world seems to be in turmoil. “Our values should guide our external and internal policies,” she said.
“Translating our values means people have sustainable and inclusive growth, which is essential for maintaining a healthy environment, job security, social peace and preserving the resilience of our society.”
The social peace and resilience of which Ribera spoke were at the heart of a series of panels on housing, in which all participants acknowledged a crisis in Europe now. EIB President Calviño announced a new action plan that includes €10 billion in investment in the sector over the next two years.
EU Commissioner for Energy and Housing Dan Jørgensen described the challenges facing Europe as interrelated, with high energy prices, climate change, and the threat posed by Russia. “Competitiveness, decarbonization, fighting climate change and becoming independent of Russian fossil fuels is at the core of everything we do right now,” he said.
Jørgensen said that rents in Europe had risen by as much as a quarter over the last 15 years and house prices by a half. One in ten Europeans are spending 40% or more of their disposable income on housing. “But behind these numbers are people, young people forced to put off starting a family, vulnerable people threatened with homelessness, students who cannot take up university places, workers who cannot accept job offers, rural communities facing depopulation, cities unable to retain teachers, nurses or police officers, because they cannot afford to live where they work,” he said. “These people and their stories provide living proof of the housing crisis and the impact it has on Europe.”
The European Commission has established a housing task force to deliver an affordable housing plan early next year. The European Investment Bank’s launch of a pan-European investment platform for housing was central to the Commission’s plans, he said.
Others are already moving against the housing crisis.
Barcelona Mayor Jaume Collboni described new regulations to cap rents and, by 2028, to eliminate licences to rent apartments to tourists.
Croatia’s state secretary at the Ministry for Regional Development and EU Funds, Zrinka Raguž, laid out the country’s action plan for affordable housing, which includes an end to real estate tax for those aged less than 45, who also pay only 50% of the value-added tax on the property. Other measures include “activating” vacant properties, more affordable housing, easier planning rules, and more student dorms. Croatia’s plan will cost €2 billion before 2030 and will be funded from the national budget, EU loans, and the rent to be paid on the affordable housing.