The European Union (EU) is taking significant steps to address the ongoing housing crisis that has affected millions across the continent. With rising housing prices and rents, the EU has appointed a dedicated commissioner for housing, signaling a commitment to finding sustainable solutions.
According to Eurostat data, the housing crisis in the EU has reached alarming levels. Between 2010 and 2022, housing prices increased by 47%, while rents rose by 18%. On average, housing expenses account for about 20% of disposable income. Furthermore, 17% of the population lives in overcrowded homes, and 9.3% struggle to maintain adequate heating in their residences.
A concerning statistic reveals that one in five full-time workers aged 25 to 34 still lives with their parents, highlighting the challenges young adults face in securing affordable housing. Projections for 2024 indicate a potential 8.5% decline in new housing construction across Europe, according to the German economic forecasting institute, Ifo.
In response to the crisis, European Commission President Ursula von der Leyen has announced the appointment of a dedicated housing commissioner for the first time. Dan Jørgensen, a social democrat from Denmark, has been selected for this role. Denmark is known for its innovative housing projects and a social sector that accounts for 20% of total housing.
The EU’s commitment to addressing the housing crisis through the appointment of a dedicated commissioner and the development of a comprehensive housing plan marks a pivotal moment in European policy. As the situation continues to evolve, the focus on cost reduction and innovative solutions will be crucial in ensuring that all citizens have access to affordable and adequate housing.