More than 100 experts from banks, public bodies and investment firms met at the European Commission the day before yesterday in an effort to find solutions to the housing crisis, as it becomes a leading issue in protests across Europe.
In Paris, cutting housing costs is a key demand of protesters, while in Spain it led Prime Minister Sánchez to call early elections. In Italy, a general strike is planned for 20 November as Italians protest the high cost of living and the lack of affordable homes.
The meeting of experts in Brussels was the first meeting of the working group, which is seeking ways to create more affordable, energy-efficient and sustainable homes in Europe.
Representatives of the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD) also took part in the opening plenary session. Both have significantly increased their funding for affordable and sustainable housing, the European Commission said in a statement.
“National and regional development banks were also represented, and pledged a combined €375 billion investment in social, affordable and sustainable housing by 2029,” the statement said.
The meeting is part of the Commission’s initiatives to address the housing issue, including the Affordable Housing Plan presented by the relevant commissioner, Dan Jørgensen, earlier this year.
What they agreed
The experts agreed to work together to develop financing models combining grants with guarantees, equity participation and capital committed for the long term.
The aim is to find solutions that will make it easier to pool small projects into larger financing structures and direct funding towards cooperatives, community land trusts, students, older people and workers in key sectors of the economy, the Commission said.
They will also explore ways to meet the financing needs of innovation in the construction sector, including modular construction and the off-site construction of building components. They also discussed simplifying and speeding up financing processes by digitising them.
A further meeting of the working group is expected by the end of the year.