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Sunday, January 18, 2026
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EU Gears Up for Coordinated Assault on Escalating Housing Affordability Crisis

**BRUSSELS** – The European Union is poised to intensify its efforts to confront a housing crisis that is increasingly impacting citizens across the bloc. During its upcoming six-month tenure presiding over the Council of the European Union, Cyprus has pledged to make tackling the "rapidly worsening housing problem" a paramount concern. This commitment underscores a growing recognition at the highest echelons of EU governance that access to affordable and sustainable accommodation has emerged as a critical issue within the public discourse.

While housing policy fundamentally remains a prerogative of individual member states, the pervasive nature of the affordability challenge necessitates a unified European approach. Constantinos Ioannou, the Interior Minister of Cyprus, articulated this sentiment, emphasizing that the escalating difficulty faced by a significant proportion of the European populace in securing decent and reasonably priced housing mandates a collaborative response. He highlighted that the very appointment of a dedicated European Housing Commissioner, Dan Jorgensen, in 2024, signals a profound acknowledgement of the issue's gravity at the highest political levels within the EU.

This heightened focus is already translating into concrete action. The European Commission recently unveiled an affordable housing strategy, a document structured around four principal tenets designed to address the multifaceted nature of the crisis. Central to this strategy is the imperative to augment the supply of available housing. To achieve this, the Commission advocates for a significant boost in productivity and innovation within the construction sector. This includes the promotion of cutting-edge building materials and methodologies, such as offsite and modular construction techniques, alongside the leveraging of digitalisation to enhance resource efficiency and curtail building expenditures. A critical component of this plan involves streamlining regulatory processes, with a forthcoming "housing simplification package" aimed at alleviating administrative burdens, accelerating permitting procedures for both new builds and renovations, and ultimately improving cost-effectiveness.

Beyond bolstering supply, the Commission's strategy also encompasses mobilising crucial investment, providing immediate support to those most affected by the crisis, and concurrently driving necessary reforms. Minister Ioannou is set to host an informal ministerial gathering in May, offering a platform for member states to convene and deliberate on these proposed solutions. He expressed optimism that this concerted effort, despite the inherent complexities of addressing such a widespread challenge, can indeed transform the current housing predicament into a tangible opportunity for the EU and its citizens. The overarching goal is to foster an environment where the crisis is not merely managed, but actively converted into a catalyst for positive and inclusive development across the continent.

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