EU housing ministers warn of €650 bn investment gap at Cyprus summit

European Union housing ministers gathered in Nicosia under the Cypriot Presidency to address a shortfall in housing investment. They said current EU investment levels are far below what is needed to meet rising demand and called for an additional €650 billion of funding each year.

The informal meeting, chaired by Greek Interior Minister Konstantinos Ioannou, will focus on two main tasks: simplifying and speeding up building‑permit procedures to cut bureaucracy, and mobilising public and private resources, including EU financing tools, to boost housing supply. EU Energy and Housing Commissioner Dan Jørgensen highlighted the problem of short‑term rentals in many cities.

Officials stressed that affordable housing is essential for social cohesion and economic growth, noting rising prices, high construction costs and demographic pressures that make suitable homes increasingly unattainable for vulnerable groups and the middle class. Reducing administrative delays and harnessing EU funds are seen as key steps toward balancing supply and demand across the bloc.