“We are working with the European Investment Bank to support local efforts to provide 1.3 million new or renovated homes across Europe,” stated European Commission President Ursula von der Leyen during the EU Covenant of Mayors 2025 ceremony in Brussels.
“For too many Europeans today, home has become a source of anxiety [as it] can mean debt or uncertainty: there are students who drop out of their studies because they simply cannot find accommodation, nurses, teachers, and police officers cannot afford to live in the communities they serve,” she detailed.
Emphasizing that this is a “European challenge that must be faced together,” Ursula von der Leyen announced the launch this year of the European Plan for Affordable Housing.
“It’s a European effort, anchored in local realities. We will allow more room for affordable housing under our state aid rules, providing communities with the flexibility they need to build more homes at affordable prices,” she concluded.
The European Commission acknowledges the challenges related to the housing crisis in Portugal and expects to address them with this plan anticipated for this year on affordable housing, including financing, state aid, and limits on local accommodation.
Housing is a competence of the Member States.
The European Union faces a housing crisis, in countries like Portugal, where house prices and rents have increased significantly, making it difficult to achieve affordable housing, especially for young people and low-income families.
Last March, the EIB group and the European Commission launched an EIB Action Plan to support housing, which includes a new single housing portal to provide advice and financing and foresees investments of about 10 billion euros over the next two years.
