2023
Hans Dubois, Sanna Nivakoski
The report "Unaffordable and Inadequate Housing in Europe," published by Eurofound in 2023, analyzes the pressing housing challenges faced across the European Union. It highlights a decline in homeownership, especially among young people, and increasing financial burdens for tenants. The research identifies income disparities, with homeowners generally earning more, while many tenants express concerns about future affordability. COVID-19 has further emphasized the need for adequate housing amenities. The report makes several policy recommendations, including the promotion of Housing First initiatives, eviction prevention strategies, and enhanced support for low-income tenants. It calls for comprehensive housing policies to address affordability, security, and adequacy, thereby improving living conditions and quality of life across Europe. The findings underscore the importance of social housing systems in addressing these interconnected challenges.
Authors
The report titled "Unaffordable and Inadequate Housing in Europe," published by Eurofound in 2023, provides a comprehensive analysis of housing challenges across the European Union. Authored by Hans Dubois and Sanna Nivakoski, the report delves into the issues of unaffordable and inadequate housing, highlighting their impact on individuals and society. The research was conducted as part of Eurofound's project on affordable and adequate homes, with contributions from various experts and peer reviewers.
Context
The report is set against a backdrop of increasing housing affordability issues in Europe, exacerbated by factors such as the COVID-19 pandemic, the green transition, digitalization, and demographic changes. It references international frameworks like the United Nations Universal Declaration of Human Rights and the European Pillar of Social Rights, which emphasize the right to adequate housing.
Key Findings
- Homeownership Trends: Over the past decade, there has been a decline in homeownership rates among young people in the EU. More Europeans are living in apartments, particularly in urban areas.
- Housing Costs: The proportion of income spent on housing has decreased for homeowners but increased for tenants. A significant number of people face financial difficulties due to high housing costs.
- Income Disparities: Homeowners generally have higher incomes than tenants. However, in many post-communist and southern European countries, a significant portion of homeowners without mortgages are at risk of poverty.
- Rental Market Vulnerability: Tenants in the private rental market are particularly vulnerable, with nearly half expressing concerns about their ability to afford housing in the near future.
- Satisfaction Levels: People in lower income brackets are less satisfied with their homes compared to those with higher incomes. Energy efficiency and access to public transport are significant concerns, especially in rural areas.
- Impact of COVID-19: The pandemic highlighted the importance of housing amenities like internet connectivity and space, as homes became multifunctional spaces for work and living.
Policy Recommendations
- Housing First Initiatives: The report advocates for scaling up Housing First policies to provide stable and unconditional housing for homeless individuals.
- Eviction Prevention: It recommends automatic support mechanisms to prevent evictions and facilitate transitions to affordable housing.
- Support for Low-Income Tenants: Enhanced support for low-income tenants is crucial, including rent controls that do not disadvantage new tenants or discourage mobility.
- Mortgage Support: With rising interest rates, there is a need for policies that protect homeowners with variable-rate mortgages from financial distress.
- Addressing Inequalities: Policymakers should ensure that social housing benefits reach those most in need and address inequalities within social housing systems.
Conclusion
The report underscores the critical role of housing policies in ensuring social protection and resilience. It calls for comprehensive strategies that address affordability, security, and adequacy to improve living conditions across Europe. The findings highlight the interconnectedness of housing issues with broader economic, social, and environmental challenges.