In the context of the collection of data towards a European Affordable Housing Plan and a European Strategy for Housing Construction by the European Commission, the European Builders Confederation (EBC) publishes its recommendations to make housing both more affordable and sustainable, with local municipalities and local SMEs as pivotal actors.
EBC welcomes the prioritisation of the housing challenge in Europe by the European institutions, notably the creation of a dedicated Task Force on Housing within the Commission and the Special Committee HOUS in the European Parliament as concrete signs of this commitment. EBC also commends the European Investment Bank for developing a pan-European investment platform for affordable and sustainable housing. This prioritisation should be reflected in the soon-to-be presented blueprint for the next EU’s Multiannual Financial Framework.
On the same day that the HOUS Committee organises a public hearing on vacancies and repurposing of the existing building, EBC highlights that a coherent policy and financial framework that empowers local actors is crucial to deliver more sustainable buildings, address the housing crisis, and support energy affordability, while maintaining the overall competitiveness of the EU. EBC proposes the following initial recommendations to maximise impact at European, national and local level:
- Align the Next Multiannual Financial Framework with EU priorities for buildings and housing: A long-term commitment in the EU budget is needed to ensure continued support for construction and renovation, more affordable housing, and SME participation beyond 2027.
- Ensure a predictable and simplified regulatory framework to enable investment: A clear regulatory environment is essential to enable local actors, including SMEs, to invest in skills, sustainable products, or digital tools and deliver housing units that are more affordable and sustainable.
- Enhance local municipalities’ capacity to leverage EU funds: Local authorities are critical enablers of construction and renovation projects, thus of potential affordable and sustainable housing. Strengthening their internal capacity and ability to identify, access and deploy EU funds effectively will maximise local impact.
- Boost local public-private partnerships to unlock activity and private financing for housing: Strengthening SMEs’ roles within partnerships between local authorities, the financial sector, property owners, developers, and civil society will ensure efficient delivery, high local impact, and social value, especially considering Europe’s ageing population and urbanisation trends.
- Place the existing building stock at the heart of long-term financial mechanisms for housing: 85–95% of today’s building stock will still be standing in 2050, with around 75–80% currently considered energy inefficient. Exploiting this legacy through renovation and repurposing is a major and priority challenge, including energy efficiency upgrades of all scales in long-term financing schemes, to reach sustainable housing affordability.
- Support a human-centric and market-driven approach to industrialisation in construction: Industrialised construction methods, if integrated to complement traditional practices and enable SME participation, can help address labour shortages and increase productivity. However, industrialisation must not be promoted as the only way forward, considering its limits for renovation, energy renovation, or conversion projects.
- Address structural workforce and skills shortages to deliver housing: Without sufficient and competent construction workers and entrepreneurs to deliver on-site, Europe’s strategy for housing will remain theoretical. SMEs rooted in local communities are key actors to enable capacity across territories.
EBC’s position paper reaffirms the commitment of construction SMEs and craft trades to meaningfully contribute to delivering affordable and sustainable housing solutions across Europe. Particular importance is given to renovation and repurposing of existing buildings, which must be central pillars of any long-term housing strategy.
To consult the full EBC position paper ‘Balancing affordability and sustainability to address the housing crisis: proposals from SMEs and craft trades in the construction sector’, click here.
