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Germany: "Social housing is the foundation pillar of a social housing policy"

GdW reacts to Ministry's advisory board report

Berlin, 31 August 2018 | Social, Economy

In view of the recent report of the scientific advisory board of the Federal Ministry for Economic Affairs and Energy (BMWi), GdW president Axel Gedaschko emphasized the great importance of social housing for a balanced housing policy.

"The argumentation bears in this case little expertise and goes beyond the limits of embarrassment" the head of GdW criticized.

"In a social market economy such as in Germany social housing plays an integral part of a responsible housing policy".

If it were to be abolished, the successful model of the German housing market which has been stable for decades would be lost. "The problems of the tight housing markets in metropolitan regions cannot be solved with liberal market instruments alone. And today's property (object) subvention also brings an additional price-dampening element into the market," according to Gedaschko.

In general: the best tenant protection is a balanced housing market. "Instead of shifting the debates on secondary stages, politics should put its focus here. We need a planning and construction law, a reduction of the construction costs and the mobilisation of building land. The Bund, the Länder and the municipalities have to agree on this. Moreover, greater involvement of rural areas is needed to absorb the housing shortage in metropolitan areas. At the upcoming housing summit in September, the housing industry will campaign for this cause," Gedaschko concluded.


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