Op-ed: Europe cannot afford to fail on housing

The European Commission and Parliament are beginning to shape a common response to Europe's housing crisis. Ireland's presidency of the Council of the EU can help advance that effort through concrete policy proposals.
Residential building site, Dublin, May 6. (Noel Bennett)

By Regina Doherty

MEP Regina Doherty (EPP, IE) is vice chair of the European Parliament's Special Committee on the Housing Crisis in the European Union and of the Subcommittee on Tax Matters.

07 Jul 2026

@ReginaDo

For years, housing was treated as a national issue. Governments in Dublin, Madrid, Amsterdam and Berlin grappled with rising rents, housing shortages and frustrated voters, while Brussels largely looked the other way.

That approach is no longer possible.

Across Europe, young people are being locked out of homeownership, workers cannot afford to live near their jobs and businesses are struggling to recruit.

Housing is becoming one of Europe's defining economic and political challenges.

The housing crisis in the European Union is no longer just about housing. It is about competitiveness and whether Europe can continue to attract and retain talent.

Before arriving in the European Parliament, I served as a minister, government chief whip and leader of Seanad Éireann in Ireland. Housing dominated political debate then.

Policymakers across member states are recognizing what citizens have known for years: this is not a collection of national crises. It is a European one, and the Irish presidency of the Council of the EU can be a defining opportunity to strengthen the European response by sharing expertise and best practice.

Toward a European strategy

I have worked with colleagues from across the political spectrum to examine the scale of the challenge. Whether speaking to local authorities, housing providers, renters, homeowners, builders, investors or tenant groups, the message has been consistent: supply is failing to keep pace with demand.

That growing recognition is why housing has reached the top of the European agenda. Earlier this year, Parliament adopted a first major report with broad support.

In a political environment where consensus is difficult to find, this was an important step. The report recognized a fundamental reality: Europe cannot build competitiveness while failing to build homes. It calls for easier access to financing, fewer regulatory barriers and better use of EU funding to accelerate housing delivery.

The negotiations exposed a wider divide. Some argued that the EU should stay out of housing altogether. Others were more interested in debating the crisis than solving it. I took a different view: Europe has spent long enough debating the crisis. The focus now must be on building homes.

That means being honest about what works. Europe needs more social, affordable and private housing. It also needs public investment and private capital, stronger protections for tenants, and policies that increase supply.

For too long, parts of the political debate have treated builders as the problem rather than part of the solution. Brussels cannot solve a housing shortage without building more homes. The focus must be on delivery: reducing barriers, accelerating construction and unlocking investment.

The European Commission's recent housing initiatives are a welcome sign that housing is finally being recognized as one of the defining challenges facing the EU.

Ireland's housing lessons

As Ireland assumes the presidency of the Council of the EU, Dublin has an opportunity to keep housing at the forefront of the European conversation.

Ireland must remain an honest broker, but its experience gives it credibility. My country understands the frustration caused by housing shortages and the urgency they demand.

While significant challenges remain, it has learned that planning systems must move faster, investment must be sustained and housing delivery requires cooperation between the public and private sectors. Those lessons can help inform the European debate.

Housing shortages are shaping where businesses invest, where workers choose to live and whether cities can continue to grow. Housing policy is no longer purely a social issue. It is economic policy.

If Europe cannot help address one of the issues citizens care most about, then discussions about resilience, economic prosperity and Europe's future risk sounding increasingly detached from reality.

Europe has delivered peace, prosperity and opportunity for millions. Expanding access to homeownership and affordable housing must be part of its next chapter.

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