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EU Unveils First Europe-Wide Affordable Housing Plan With Short‑Term Rental Curbs

Critics say the largely voluntary package lacks binding rules, falling short of the scale of the housing crisis.

Overview

  • The European Commission presented its first continent-wide plan to tackle housing, pairing EU actions with recommendations for national and local authorities.
  • Brussels will seek to revise state-aid rules to let governments fund a broader range of affordable homes beyond the lowest-income households.
  • A draft law to regulate short-term rentals such as Airbnb is planned, with options reported to include caps on the number of nights in tourist hotspots.
  • Measures to speed building include training to address labor shortages, simpler permits and common standards, with the Commission estimating Europe needs over two million homes a year and could mobilize up to €375 billion by 2029.
  • The package orders an EU analysis of real-estate speculation, and reports point to €5 billion per year earmarked for affordable housing as critics fault the plan’s nonbinding tools and limited funding compared with local officials’ requests.