Germany urged to rethink costly standards amid housing crisis
Germany is currently grappling with a shortfall of 550,000 social housing units. Experts have highlighted that social housing construction in the country is excessively costly and are advocating for simplifying standards, which could reduce expenses by up to a third. Unions warn that the housing crisis is worsening, reports "Deutsche Welle".
The country is facing a severe shortage of social housing units, with the deficit reaching 550,000. This has spurred a coalition of tenant organisations, construction unions, industry associations, and Caritas to call for the construction of 100,000 new social housing units annually. According to Deutsche Welle, the federal government and the federal states would need to allocate 11 billion euros to achieve this goal.
According to experts, one primary reason for the lack of homes is the inflated building standards, which significantly raise the cost of investment. Matthias Günther from the Pestel Institute in Berlin highlights that the problem will worsen because, by 2035, many members of the baby boom generation will retire, and their pensions will not allow them to afford more expensive flats.
Additionally, the demand for social housing is increasing due to the influx of immigrants and the needs of people with disabilities.
Too many "premium social housing units"
Dietmar Walberg from the Arge Research Institute in Kiel notes that, ironically, despite more funds being allocated to social housing, only 23,000 new units were built in 2023, a decline compared to previous years. This trend is due to constructing so-called premium social housing units, which are too expensive.
Walberg argues that costs can be significantly reduced by lowering standards—for example, by displacing triple-glazed windows, excessive soundproofing, underground car parks, and basements. He believes that basic housing can be up to a third cheaper without breaching essential building regulations.
This issue was also brought to light by Robert Feiger, head of the Construction, Agriculture, and Environment Union, who criticises the absence of suitable proposals in political programmes. The housing shortage has become more urgent and turned into a real social crisis, warns Feiger, emphasising that this subject is being sidelined in the election campaign.
