The European Union proposed new tools to help cities restrict short-term rental operators like Airbnb, aiming to ease the soaring housing costs on the continent. The Affordable Housing Law was approved by the European Commission, the EU's executive arm, and proposes uniform rules to determine when a region faces a "housing stress" situation, which would give local authorities greater backing to act against short-term rentals.
The legislation would provide "legal certainty" should "local authorities wish to act," said Teresa Ribera, head of the EU's competition area. The initiative represents an effort by the EU to respond to the worsening housing crisis, one of the main concerns of European citizens, but an area in which Brussels has little authority.
Decisions on housing policies traditionally fall under national and local governments. The new law seeks to establish a common framework that allows municipal authorities to have a legal basis to implement restrictions on short-term rentals when necessary.
