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19.12.2025

European Affordable Housing Plan and Strategy for Housing Construction

On 16 December 2025, the European Commission presented the European Affordable Housing Plan alongside the European Strategy for Housing Construction

The European Construction Strategy focuses on simplifying procedures, advancing digitalisation and innovation, securing access to materials, and strengthening skills. Cooperation with Member States will feed into an Affordable Housing Act (Q4 2026) and a Housing Simplification Package (2027). Key measures include mandatory Digital Product Passports for construction products by 2028, EU-wide Digital Building Logbooks, accelerated standard-setting for key construction materials, and support for offsite and modular construction, backed by EUR 400 million in EIB financing.

Measures to secure material supply and skills include addressing barriers to secondary materials under the Circular Economy Act (2026), a Construction Services Act (Q4 2026), and a Skills Portability Initiative (Q3 2026).

The European Affordable Housing Plan complements these actions as the first EU-wide framework addressing housing affordability. It focuses on increasing the supply of affordable, sustainable, and quality housing while mobilising public and private investment and supporting Member States’ reforms. Implementation will be supported by a new European Housing Alliance and EU funding under the current and next Multiannual Financial Framework.

The Plan is structured around four pillars: boosting housing supply through productivity, innovation and reduced red tape; mobilising investment for social and affordable housing; enabling immediate support while advancing structural reforms, including measures on short-term rentals and market speculation; and supporting the most affected groups, such as young people, tenants, and those at risk of homelessness. 

More information is available in the related EC press release.