EU Advances Public Consultation for Affordable Housing
- Redação Mudei e Agora
- Aug 11, 2025
- 2 min read
The housing crisis has become a common reality in many European cities. With purchase prices and rents at historically high levels, the European Commission launched, in August 2025, a public consultation to build a European Affordable Housing Plan. The goal is to collect input from governments, municipalities, real estate developers, civil society organizations, and citizens.
Why this initiative is needed
In recent years, factors such as increased urban demand, scarcity of available land, high construction costs, and stagnant wages have worsened access to housing. According to Eurostat data, more than 30% of low-income families spend over 40% of their monthly budget on housing — a figure well above the sustainable effort threshold.
What the consultation aims to gather
The European Commission structured the questionnaire to capture contributions in several areas:
Market monitoring: creating harmonized indicators to measure price trends, rents, and occupancy rates.
Financing models: gathering proposals combining EU funds (such as NextGenerationEU), national resources, and private investment.
Supply policies: ideas to accelerate permits, reduce bureaucracy, and encourage urban rehabilitation.
Sustainability: integrating environmental and energy efficiency goals in housing programs.
This participatory approach aims to create a flexible plan adaptable to different regional realities, yet strong enough to serve as a common reference across the European Union.
Portugal’s role
Portugal faces particular challenges. The growth of tourism, demand from foreigners, and scarcity of new constructions have strongly pressured prices, especially in Lisbon, Porto, and the Algarve. Although there are programs like Mais Habitação and incentives for rehabilitation, supply remains below demand, and average rents have risen by about 8% in the last year.
Active participation from Portuguese municipalities and the private sector in the consultation could be an opportunity to channel more EU funds toward public housing and affordable rental projects.
Expected impact
The European Affordable Housing Plan could result in:
New financing lines for housing projects;
Public-private partnerships to increase supply at controlled prices;
Sustainability construction goals aligned with the European Green Deal;
Legislative recommendations to harmonize permitting procedures.
The expectation is that, by 2026, the Commission will present a legislative proposal based on the contributions received, setting deadlines and targets for all Member States.
Criticism and challenges
Despite the initiative’s potential, some criticize that the consultation may be too broad and slow to respond to the urgency of the crisis. Also, without clear financial commitments, there is concern proposals won’t translate into concrete actions. Success will depend on coordination between national policies and European guidelines.
How to participate
Citizens, companies, and public entities can submit contributions via the European Commission’s official portal until the deadline (expected by late November 2025). Participation is free and responses can be submitted in any official EU language.
Source: European Commission / DECO Proteste / Vida Imobiliária
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