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Commission proposal for EU long-term budget to boost housing investment

Housing

26 September 2025

Commission proposal for EU long-term budget to boost housing investment

Bulding block 1: Competitiveness

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EU’s long-term budget (2028-34) directs major new funds via Partnership Plans and social spending targets to strengthen investment in affordable and sustainable housing across Member States. 

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Directorate-General for Energy

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EU-27

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EU Institutions

National authorities

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  • Transition Pathway Strategic Areas

    • Bulding block 1: Competitiveness

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On 18 July 2025, the European Commission proposed the next Multiannual Financial Framework (MFF) for 2028-2034, totalling nearly €2 trillion, amounting to about 1.26% of European Union Gross National Income. A key feature is the launch of National and Regional Partnership Plans (NRPs) worth €865 billion, consolidating several EU funds to make budgeting more flexible and aligned with on-the-ground regional and national needs. Social and affordable housing is designated as a specific objective among others like poverty alleviation and social infrastructure. The proposal mandates a 14% target for social expenditure across the MFF. Additional support for housing comes via instruments like the European Competitiveness Fund (mobilizing public/private investment), and by integrating housing concerns into programmes such as Erasmus+ (noting housing challenges for youth and students). If adopted, the proposal would increase funding streams and simplify funding to better support housing access, social fairness, and sustainability in homes across Europe. The proposal comes from the Directorate-General for Energy. 

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