Over last years, the cost-of-living crisis, rising mortgage rates, construction costs, and reduced housing construction have led to a surge in housing prices and rents, especially in urban areas. Many individuals struggle to access affordable housing, whether for rent or purchase, start new constructions or undertake renovation works. Additionally, the EU faces the pressing need to make residential buildings more energy-efficient to meet its climate and energy goals.
In this context, for the first time, housing is included in an EU Commissioner’s portfolio. Dan Jørgensen, the Commissioner for Energy and Housing, is tasked with developing a comprehensive housing strategy to support construction, reduce costs, and ensure an adequate labour force, while also addressing the root causes of housing supply issues, unlocking public and private investment for affordable and sustainable housing, creating a European Affordable Housing Plan, and tackling systemic challenges such as short-term rentals and inefficient use of the current housing stock. To this end, a task force grouping all relevant officials and units from relevant Directorate-Generals is also being shaped for better internal coordination.
With regards to the European Parliament, it approved the creation of a special committee to address the housing crisis in the European Union in December 2024. Yesterday, 23 January, the European Parliament published the nominative composition of special committee. Composed of 33 members, the committee will operate for 12 months and conduct hearings with experts, consult stakeholders, and conduct visits to study best practices around Europe. A final report summarising its findings and recommendations will be presented at the end of its term.
The special committee’s primary purpose is to develop solutions to ensure decent, sustainable, and affordable housing across the EU. It will focus on addressing challenges such as housing scarcity, affordability issues, and homelessness, while also examining their social and economic impacts.
The committee will assess housing needs across different demographic and regional groups, particularly focusing on low- and middle-income households. It will analyse existing housing policies at EU, national, and local levels, identify gaps, and recommend improvements. Additionally, the committee will investigate the effects of housing speculation, evaluate the role of short-term rentals on housing affordability, and review the effectiveness of EU and national funding for housing initiatives. In addition, it will also review the effectiveness of EU and national funding for housing initiatives and analyse how EU policies influence housing availability and affordability. It will contribute to the development and the future implementation of the European affordable housing plan and the European strategy for housing construction.
Of particular importance for the construction sector, this special committee will examine potential barriers that affect the sector and what impact they have on the housing crisis. It will evaluate the policies and legislative proposals required to enhance the provision and availability of decent, sustainable, and affordable housing, including through supporting new construction, housing conversion, and renovation programmes, while considering the potential of vacant buildings. Furthermore, the committee will evaluate innovative technologies, processes, and services that support the EU’s Renovation wave initiative. Attention will be given to identifying and reducing unnecessary administrative and regulatory burdens that slow progress while ensuring quality standards in construction and renovation projects.
EBC looks forward to engaging with this new Special committee in the European Parliament and the European Commission on how construction can further contribute to tackling the housing shortages.
 | For more information on the setting up of this special committee, click here To consult the list of members of this special committee, click here |
