While the leaders of the EU27 gathered at the European Council held their first ever debate on the housing crisis in the EU on Thursday 23 October, lasting just under 30 minutes, the President of the Commission, Ursula von der Leyen confirmed on that occasion a “first EU-level Housing Summit in 2026”, the date of which has yet to be set (see EUROPE 13706/9), experts from the Member States will be invited on 30 October to examine a new draft of the EU Council’s conclusions submitted by the Danish Presidency.
The draft remains very close to a previous text dated 6 October. It states, for example, that the EU27 are committed to promoting “a well-functioning housing market [...] that encourages private investment [...]”, but deletes the reference that followed on encouraging the free formation of prices and rents.
Two additions on “poverty” are introduced, notably on: - strengthening the correlation between social and housing policies and related relevant policies on welfare, reduction of poverty and social exclusion; - promoting inclusive neighbourhoods and preventing social and territorial segregation and spatial concentrations of “poverty” in neighbourhoods and housing estates.
The latest text still refers to socially inclusive cities, but now also to socially inclusive “neighbourhoods”.
On State aid, the text also takes account of the fears of certain countries.
It therefore calls for an assessment, in the context of a possible revision of the rules on State aid, of the introduction of modifications “without requiring a change to the scope of the current social housing SGEI”. The ‘Employment, Social Policy and Consumer Affairs’ Council is expected to adopt them in early December.
“Housing affordability and accessibility are among the most pressing, concrete issues for millions of Europeans. While in this area competences remain at national, regional, and local level, I wanted European leaders to come together and discuss how the EU can complement and support their efforts”, summed up the President of the European Council, António Costa, on Thursday evening.
The EU27 debate provided “political guidance for the preparations of the European Affordable Housing Plan by the European Commission”, scheduled for mid-December, he added.
On their arrival in Brussels, several leaders insisted on the need to respect national or regional competences in this area, but also on the regulatory simplification work carried out by the Commission, which could help Member States in difficulty, for example with regard to the rules for issuing building permits or State aid.
“Housing is simply a national responsibility. But many regulations affect housing, which is why we are explicitly linking the issue of simplification to that of housing”, commented the Dutch Prime Minister, Dick Schoof.
“I’m going to address this subject because it’s a major European issue that is of concern to many States, particularly the need to simplify regulation. This is a major obstacle for Europe today: we need to reach agreement on the legal frameworks that are hampering our ability to build infrastructure and housing”, said Ireland’s Micheál Martin.
Spain’s Pedro Sanchez also wants “to introduce legal measures at European level to curb the acquisition of non-residential housing. Secondly, we need to equip ourselves with the necessary tools at European level to take action in deprived areas of towns and cities where property prices are rising. Finally, it is necessary to create a specific fund for the construction of social housing on a European scale”.
On the regulatory front, while keeping full subsidiarity in mind, the EU could play a role with regard to administrative formalities for planning and granting permits, give greater leeway to Member States wishing to support private investment in housing through State aid, or regulate short-term rentals, according to the ideas brought forward on Thursday.
It would not be a matter of issuing recommendations, but of having a set of tools that would give the various authorities more leeway.
Greece, Spain, Ireland, Croatia, Latvia, Portugal, and the Netherlands are said to have intervened on Thursday evening.
In their two paragraphs of conclusions, the EU27 underlined “the housing challenges faced by many EU citizens, in particular access to affordable housing”.
They called on the Commission “to swiftly present an ambitious and comprehensive plan for affordable housing, the aim of which should be to support and complement Member States’ efforts, including in the context of the simplification agenda, having due regard for the principle of subsidiarity and national competences”.
Link: https://aeur.eu/f/j4q (Original version in French by Solenn Paulic with the editorial staff)