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Young Europeans are delaying major life milestones such as moving out, forming families, and pursuing career opportunities simply because they cannot secure a decent, affordable place to live (Photo: T.H. Chia)

Opinion

Europe’s housing emergency is a political choice — and it can be solved

Europe is deep in a housing emergency. An emergency that is pushing families to the breaking point and depriving young people of the futures they deserve. The cost of renting or buying a home has soared far beyond what many can bear.

Across the EU, one-in-ten urban households now spends over 40 percent of its income on housing.

Meanwhile, building permits for residential properties have fallen by more than 20 percent since 2021, and housing and utility costs surged by around 18 percent in 2022, set against average wage growth of just 4.4 percent.

A home is far more than bricks, mortar and paperwork. It is where we grow, rest, dream, and form the foundations of our lives.

If housing becomes a privilege rather than a right, Europe loses not only economic potential but its social anchor. This crisis is not a force of nature. It is a political failure, which means it is within our power to fix.

With the European Commission unveiling its first-ever European housing package on Tuesday (16 December), the stakes could not be higher.

Member states hold the primary competence, yes.

But when millions face the same shortages of labour, the same inflated land prices, the same chronic lack of supply and the same speculative investment pressures, the EU cannot stand by. Europe needs to make it easier to build, smarter to invest and fairer to access affordable housing across borders.

Construction today is hampered by administrative delay, high financing costs, and scarce skilled labour.

Removing unnecessary red tape does not mean lowering standards. It means deploying digital permits, streamlining planning processes, incentivising the use of vacant properties, and ensuring land use rules serve social needs rather than exclusionary interests.

Faster procedures can coexist with environmental safeguards and indeed help deliver them.

A climate-proof home is not a luxury. It is a shield against rising energy bills, an investment in climate resilience, and a source of long-term affordability.

Renovation strategies, modular construction, and circular materials can boost energy performance while bringing down life cycle costs. Europe must treat the green transition and the housing crisis as intertwined priorities, not competing ones.

The next generation is being priced out of adulthood

Young Europeans are delaying major life milestones such as moving out, forming families, and pursuing career opportunities simply because they cannot secure a decent, affordable place to live. This is not just an economic problem, it is a demographic and social one. Targeted financing for first-time buyers, fair rental schemes and youth-oriented guarantees should be central tools, not peripheral gestures.

Houses do not build themselves, people build them. The European housing crisis cannot be solved without a fully trained and mobile workforce. Training programmes, apprenticeships, and mutual recognition of qualifications across the EU can connect supply with demand. We need to empower skilled workers to exercise their profession in the whole Union.

Tuesday’s housing package must be bold

The European Commission now has an opportunity to respond with clarity and ambition. A credible housing strategy must set out concrete measures to boost supply, align climate and affordability objectives, and ensure that citizens, especially the young, can reclaim control over their living conditions.

Europe is one of the world’s richest continents. It should not be a place where the simple act of finding a home is out of reach for so many.

Decent, affordable, and sustainable housing is a cornerstone of competitiveness, prosperity and social cohesion.

Every European deserves the freedom to build a life, to seize opportunities, and to reach full potential. The sooner we strengthen the foundations of housing security, the brighter the future we build together.


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