News item | 22-05-2023 | 2:00 PM
Promising locations for housing are given every help to get started, despite the economic headwind. This is evident from the Housing Construction progress report and the review of the housing deals concluded this spring, which Hugo de Jonge, the Minister for Housing and Spatial Planning, presented to the House of Representatives on Monday 22 May. The minister’s aim is to quickly (continue to) build what has already been licensed and to quickly license what can be built in the short term. In addition, he is taking an extra step to limit the expected dip in housing construction and to force progress.
Among other things, the minister calls on provinces and municipalities to look for alternative locations when projects are delayed or come to a standstill due to, for example, higher interest rates and increased construction costs. This so that construction can continue. In addition, the cabinet recently made more than half a billion euros available for: the start-building impulse (at least €250 million) and the accelerated realization of flex homes (€300 million). The minister therefore wants to know from the regions what is needed to continue building. Acceleration talks are about to start, which should ensure a regional breakthrough to maintain construction production. For each location that slows down, another location must be designated or accelerated.
A national acceleration table is boosting housing construction at a national level. The members help governments, housing corporations and housing market parties to meet the housing construction agreements made and identify possible acceleration options. At the regional level, governments, market parties involved (investors, developers, builders and new-build estate agents) and housing associations jointly steer the proposed building plans. They detect delays and do everything they can to prevent them.
Existing locations not enough
To tackle the national housing shortage, more than 900,000 additional homes are needed up to and including 2030. In 2022, 90,127 homes were added. These were 74,217 new-build homes (including flex homes). The remaining 15,910 homes consisted, among other things, of transformations and house divisions.
The demand for housing has increased further in recent years. The Dutch population grew in 2022 – mainly due to migration – almost twice as fast as in 2021 (227 thousand compared to 115 thousand). Before the summer, Primos will publish a new forecast on the number of households and housing production. As demand rises, it has become more difficult to build. For example, construction costs and interest have risen. Individuals and investors can raise fewer resources. The prices of houses and land must adjust to this, but that takes time. As a result, a dip in housing production is expected, particularly in 2024.
Measures for continuing to build in changing circumstances
To keep the expected dip as small and short as possible, the government is deploying a broad package of financial, legal and substantive measures. These measures should lead to a structurally larger production of housing that is less sensitive to changing circumstances. The foundation for this was laid last year.
In 2022 and 2023, 35 housing deals will be concluded in the twelve provinces under the direction of the government. This includes agreements about the number of homes to be built, the locations and for whom the building will be built. The government also made financial resources available. The first four tranches of the Residential Building Impulse together provide 164,732 homes. The fifth tranche will be awarded before the summer. An investment of 7.5 billion euros in mobility will result in approximately 400,000 accessible homes.
The cabinet is coming up with plans to significantly reduce the construction of an average home, from ten years to several years. Equalization of procedures saves time, also by taking the interests of future residents into account during participation. This spring, the Public Housing Management (Enhancement) Act went into consultation. This must provide an appropriate legal framework to firmly anchor the management of public housing for future years.