Mayors Call for €300bn EU Fund to Address Rising Housing Costs Across Europe
The Mayor of Barcelona, Jaume Collboni, who leads the Mayors for Housing alliance alongside his counterparts from Paris and Rome, has urged the European Union to create a dedicated fund to address soaring housing costs. Representing more than 20 million people across 17 cities, the alliance calls for an affordable housing fund of at least €300 billion per year to mobilize both public and private investment in social and affordable housing, with local mayors having a direct role in decision-making.
The push comes as the EU prepares to unveil its first-ever housing plan, with Collboni emphasizing that financial resources must accompany policy initiatives. Between 2010 and 2023, housing prices in the EU surged by 48%, and rents rose by 22%. By 2023 approximately one in ten EU residents spent over 40% of their disposable income on housing, with particularly high shares in Greece (29%), Denmark (15%), and Germany (13%).
In Barcelona, home prices have increased by about 70% over the last decade, contributing to displacement and increased living costs. Collboni warned that failing to address the housing crisis risks undermining democracies and empowering populist movements, highlighting the fundamental right to remain in cities.
EU Housing Commissioner Dan Jørgensen acknowledged the severity of the housing challenge and revealed plans to tackle issues such as short-term rentals. Housing policy was formally placed on the EU agenda in October 2025, marking a significant step toward coordinated action across member states.
