EU Unveils Ambitious Plan to Combat Housing Crisis Across Europe

The European Union has unveiled a landmark plan to tackle the continent's worsening housing crisis, aiming to increase construction and regulate short-term rentals. The crisis is stark, with nearly 1.3 million people homeless across the 27-nation bloc. Housing prices have surged by 60% over the past 15 years, while rents have climbed almost 30%, according to Eurostat data. European Commission Vice-President Teresa Ribera stressed that affordable housing is one of Europe's most pressing challenges. To address this, the EU executive plans to propose legislation to curb short-term rentals, such as Airbnb, in tourist hotspots where locals blame them for driving up rents. Measures could include capping the number of nights allowed. The EU also aims to boost construction by tackling labour shortages through large-scale apprenticeship programs, easing environmental rules, and facilitating public investment in construction. This could mobilize up to €375 billion in private capital by 2029. The commission estimates the bloc needs more than two million new homes annually to meet demand. While the responsibility to address housing lies primarily with member states, the EU plan has been welcomed by European city mayors who have been pushing for action. Barcelona's mayor, Jaume Collboni, called it a 'turning point' for Europe's housing crisis, while Paris' deputy mayor, Jacques Baudrier, described it as a step forward in the battle against homelessness.