European Union designates housing crisis as a top political priority

European Council President Antonio Costa met with the 'Mayors for Housing' alliance in Brussels to address the deepening housing crisis. Representatives including the mayors of Barcelona and Rome and the deputy mayor of Paris submitted a six-point action plan to the European Commission. The proposal calls for a common definition of 'housing pressure zones,' increased funding, and stricter regulations on short-term rentals. Commission officials, including Executive Vice-President Teresa Ribera and Commissioner for Energy and Housing Dan Jorgensen, participated in the discussions. Ribera noted that housing prices across the EU have surged by over 60% between 2013 and 2024, while building permits have declined by 22% since 2021. President Costa emphasized that affordable housing is essential for social cohesion, economic competitiveness, and the stability of democratic institutions. He warned that the current shortage hampers labor mobility, productivity, and demographic health. The initiative marks a formal shift in EU policy, positioning housing as a central challenge for the union.