Summer special: ‘Rent is too damn high!’ Europe’s growing housing crisis
Aug 9, 2024
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Aitor Hernández-Morales, a prominent political journalist, joins Sorcha Edwards, secretary general of Housing Europe, to tackle Europe's soaring housing crisis. They delve into the dire realities of rising rents and the scarcity of affordable housing across the EU. The duo discusses the political ramifications, including far-right parties exploiting housing woes for electoral gains. Personal stories from affected citizens highlight the urgency for solutions, while they explore potential EU interventions amidst a backdrop of evolving political landscapes.
Skyrocketing rents and a lack of affordable housing have mobilized protests across Europe, highlighting citizens' frustration and precarious living situations.
The crisis has become a political focal point, with far-right parties exploiting public fears, while a coordinated EU housing strategy is being proposed.
Deep dives
The Widespread Housing Crisis
The housing crisis is a pressing issue impacting Europe, where skyrocketing rents have become a critical concern in multiple countries, including Greece, Portugal, and Germany. Between 2012 and 2022, rents across Europe increased by an average of 20%, with housing prices soaring nearly 50%. This crisis has mobilized protests in cities like Dublin and Lisbon, highlighting the frustration of citizens facing limited affordable housing options. The lack of sufficient social housing has led to people spending an unsustainable portion of their income on rent, leaving many in a precarious living situation.
Political Manipulation of the Housing Issue
The housing crisis has become a focal point in political discourse, with many far-right parties exploiting public fears about migrants taking available housing. Misinformation has fueled protests, with rumors suggesting that undocumented migrants are occupying public housing, despite stringent qualification requirements in place. Wealthy tourists and corporate landlords have often emerged as more significant contributors to the housing shortages, particularly in tourist-heavy cities like Barcelona and Lisbon. This political narrative serves to distract from the underlying economic issues while scapegoating marginalized groups.
Calls for EU Action and a Housing Commissioner
There's a growing recognition that the EU must address the housing crisis more effectively, with discussions centered on the establishment of a dedicated housing commissioner. Politicians from various parties are beginning to converge on the idea that state aid regulations should be adjusted to allow for more investment in affordable housing. Furthermore, the proposal for a comprehensive EU housing strategy seeks to reflect the pressing need for coordinated action on housing policies across member states. The sentiment is that without intervention, the housing crisis will continue to escalate, prompting more public outcry.
The Complex Nature of Housing Solutions
Finding viable solutions to the housing crisis requires a multidimensional approach, recognizing the importance of both social and public housing. The political landscape suggests a need for consensus among various stakeholders to address the affordability issue, particularly in urban areas where gentrification is prevalent. Investment in housing is essential not only for economic viability but also to ensure that cities remain diverse and accessible. The emphasis is on understanding housing as a public good, necessary for societal well-being rather than merely a financial asset.
On our summer break, we're bringing this episode from January back into your feed by popular demand, looking at a crisis that is affecting many Europeans in most EU countries: skyrocketing rents and house prices, a shortage of flats, long waiting lists for social or affordable housing — commonplace problems from Greece to Luxembourg to Portugal.
Host Sarah Wheaton talks to POLITICO’s Aitor Hernández-Morales and Sorcha Edwards, secretary general of Housing Europe, about the causes of the crisis, its impact across the bloc (including far-right parties using it as an election platform), and solutions at the EU level. Are there any, given that housing is not an EU competence?
Then we hear from Dutch Green MEP Kim Van Sparrentak about housing challenges in her native Netherlands and her efforts to get the European Parliament and the Commission to get more involved in tackling the crisis. And Sarah speaks to Ans Persoons, secretary of state for the Brussels-Capital Region, who explains how the EU’s defacto capital is struggling to keep up with affordable housing demands.
And as mentioned in the show, here’s where you can read the article written by our guest Aitor Hernández-Morales, together with colleagues Jacopo Barigazzi, Barbara Moens and Giovanna Coi: How do you stop the rise of the far right? Build houses.