How to lose friends and alienate people: The social and political consequences of Europe’s housing crisis

Abstract

This article identifies the shortage of affordable, secure housing as a key driver of political alienation, particularly among young people. The social consequences of this trend for this group include, but are not limited to, delayed independent living and family formation, declining mental health and diminishing belief in their ability to match the living standards of their parents. Increasingly vulnerable and insecure, many young people now link the issue of housing with inward migration. Left unresolved, this issue will further polarise (and radicalise) the political choices of younger generations in the years ahead. In response, this article proposes three immediate actions. First, a dramatic expansion of construction for all types of housing where excess demand exists. Second, the use of public money to ensure that housing options exist for people of all ages, social classes and income levels. Public money should not be utilised for schemes which ultimately inflate house prices further. Third, to tackle widening intergenerational inequalities, existing housing wealth must be taxed fairly.