Local leaders welcome measures on short-term rentals and call for protection of primary residencies and increased investments

The Committee of the Regions welcomes the Affordable Housing Act proposed by the European Commission as an important step towards providing cities and regions with the legal certainty they have long been calling for to address housing challenges through measures tailored to local circumstances, including to regulate short-term rentals where necessary.

CoR President Kata Tüttő said: “This Affordable Housing Act is a first important step to address the concerns of an increasing number of citizens who struggle to find a place to live. We appreciate the full acknowledgement of the role of cities and local authorities, who contributed to this work from the very beginning. We will keep working to improve proposed measures and make EU support more effective. New rules are fundamental, but we also need to invest more and here there is an open contradiction between the initiative launched today and the MFF proposal for 2028-2034, where the Commission drastically weakens the role of cities and regions in steering EU investments and cuts all the financial tools used so far by local authorities to support and to raise the quality of their housing strategies."

The CoR’s rapporteur on the ‘Role of cities and regions in the EU Affordable Housing Plan’, Jaume Collboni (ES/PES), Mayor of Barcelona, said: “Housing is the first source of social inequality in Europe. We therefore welcome the first-ever EU regulation on housing, as it recognises that housing is primarily to live in, not to make profit, and it shows the Commission’s commitment in supporting cities to address the housing crisis. We are also grateful for the leading role that cities have played throughout the whole drafting process, for instance proposing the adoption of areas under housing stress as the cornerstone of the Regulation. We appreciate the recognition that the proliferation of short-term rental services in cities exacerbates the lack of affordable housing for residents and the possibility for us to adopt measures on the issue, as well as in acquisitions of second residences or other non-residential uses. We look forward to engaging with the European Parliament and the Council of the EU to improve some aspects of the text, in particular with regards to primary residences.”

For several years, the Committee of the Regions has been calling for a stronger EU role in addressing the housing crisis, advocating for place-based solutions and a stronger role for local authorities, stressing that housing policies must be adapted to local needs.

Background

• The CoR opinion on ‘Role of cities and regions in the EU Affordable Housing Plan’ by rapporteur Jaume Collboni (ES/PES), Mayor of Barcelona (May 2025). Press release. Factsheet on housing with spotlight on Barcelona.
• The CoR opinion on ‘Smart, sustainable and affordable housing as a tool for local authorities to face multiple challenges’ by rapporteur Andres Jaadla (EE/Renew Europe), city councillor of Rakvere (April 2024).

Contact:

Ângela Machado

Tel: +32 475413158

Angela.machado@cor.europa.eu