Source: European Parliament
The Commission agrees with the Honourable Member that the housing crisis impacts a large number of European citizens. In response to the housing crisis, the Commission will put forward a European Affordable Housing Plan (‘the EHAP’) in 2026.
The Commission notes, that in respect of the subsidiarity and proportionality principles, primary responsibility for affordable and social housing is within the remit of Member States, regional and local authorities and the EAHP will respect these principles.
In addition, the Commission put forward a — mid-term review — legislative proposal to modernise cohesion policy[1] including incentives to encourage Member States and regions to double their investments in affordable housing under the Cohesion policy.
The relevant legislation on European funds and programmes[2] available for Member States, regions and local authorities for housing contain rules on governance, including allocation mechanism[3], and follow the said principles, in line with the current Multiannual Financial Framework (MFF).
Any future budgetary provisions, including the allocation methodology, will be decided by co-legislators at the next MFF negotiations. In addition, the recent communication on NextGenerationEU[4] explicitly recognises the possibility to inject equity to national promotional banks, also for affordable housing.
The Commission will continue to strengthen its contribution to mitigating the housing crisis, including for youth in its future actions.
The Commission aims to cut unnecessary red tape and simplify processes[5] in order that available funding can be disbursed as quick as possible. On this matter the Commission works in close cooperation with the managing authorities and other relevant bodies.
- [1] Proposal for a regulation of the European Parliament and of the Council amending Regulations (EU) 2021/1058 and (EU) 2021/1056 as regards specific measures to address strategic challenges in the context of the mid-term review, COM(2025) 123.
- [2] Most importantly the Recovery and Resilience Plans, the European Regional Development Fund, the Cohesion Fund, the Just Transition Fund, the European Social Fund+ and the InvestEU programme.
- [3] For Cohesion policy Funds, the methodology on allocation of global resources per Member State is defined by Annex XXVI of Regulation (EU) 2021/1060 of the European Parliament and of the Council of 24 June 2021 laying down common provisions on the European Regional Development Fund, the European Social Fund Plus, the Cohesion Fund, the Just Transition Fund and the European Maritime, Fisheries and Aquaculture Fund and financial rules for those and for the Asylum, Migration and Integration Fund, the Internal Security Fund and the Instrument for Financial Support for Border Management and Visa Policy.
- [4] Communication from the Commission to the European Parliament and the Council NextGenerationEU — The road to 2026, COM/2025/310 final (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52025DC0310).
- [5] In general, simplification is a key objective of the Commission, as evidenced also by the simplification omnibuses and the mentioned NextGenerationEU communication.
Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions A Competitiveness Compass for the EU COM/2025/30 final (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A52025DC0030&qid=1750151442346).