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Key developments in EU policy: housing, social funds, and future budget planning

The EU kicks off 2025 by focusing on housing, social funding, and budget reforms, tackling key issues while reinforcing support for Ukraine.

The first months of 2025 have seen the European Union make significant strides in key policy areas such as housing, social investments, and the long-term EU budget. Parliamentary committees have begun their work and action is underway. Funds are a top priority, with the Commission outlining its vision for the next Multiannual Financial Framework (MFF) and engaging in discussions on key funding priorities, including the European Social Fund Plus (ESF+). Meanwhile, the EU continues to address broader social and geopolitical challenges, including disability rights and ongoing support for Ukraine.

The Committees on Public Health (SANT) and the Housing Crisis (HOUS) held their first meetings at the end of January. Both committees will serve a one-year mandate, which may be extended. The Housing committee convened on 30 January, appointing Irene Tinagli (S&D, Italy) as Chair and Dirk Gotink (EPP, Netherlands), Vicent Marzà Ibáñez (Greens, Spain), Ciaran Mullooly (Renew, Ireland), and Regina Doherty (EPP, Ireland) as Vice Chairs.

HOUS will contributeto the development and the future implementation of the European affordable housing plan and the European strategy for housing construction to be presented by the Commission. Its mandate includes mapping housing needs, analysing current housing policies, and assessing the impact of housing speculation. Other key responsibilities will be evaluating policies and funding for the eradication of homelessness and examining the role of non-profit and limited-profit housing solutions, such as social or cooperative housing, on the affordability and accessibility of housing for different groups.

On 12 February, the European Commission published a Communication on The Road to the next Multiannual Financial Framework, outlining major policy and budgetary challenges that will shape the design of the next EU budget for the period 2028-2034. This document serves as the foundation for discussions on how to adapt the EU’s long-term budget to evolving needs and priorities. The Commission argues that a simpler, more focused, and impactful approach is necessary for a modern EU budget, with increased flexibility and enhanced coordination between the EU and national levels through a Competitiveness Coordination Tool. A public consultation has been launched to gather input from citizens and civil society. It will remain open until 6 May.

The European Disability Forum responded to the initiative with a statement expressing concerns that the EU might significantly reduce the budget for Cohesion, Resilience and Values during its negotiations. The Parliament Committee on Employment and Social Affairs, shares similar concerns and voted for aReport that calls for a strengthened European Social Fund Plus (ESF+) post-2027 to better support the EU’s social dimension. As a part of the cohesion budget,the ESF+ is the EU’s main instrument for investing in people and supporting the implementation of the European Pillar of Social Rights. With a budget of €142.7 billion for the period 2021-2027, it contributes to the EU’s employment, social, education and skills policies, including structural reforms in these areas. The report proposes reinforcing the post-2027 ESF+ to support people in vulnerable situations, invest in people and skills, help lift people out of poverty, and boost social investment and social entrepreneurship. The Parliament will vote on the draft report in the March plenary session.

On 13 February, the Disability Intergroup met the first time in this mandate. The intergroup will be co-chaired by Jagna Marczułajtis-Walczak (EPP), Alexander Agius Saliba (S&D), and Katrin Langensiepen (Greens). Participants set priorities for the 2024-2029 parliamentary term: the second phase of the EU Disability Rights Strategy, the next Multiannual Financial Framework, employment, independent living, and passenger rights. Find the official work programme here.

Finally, on Monday, the Presidents of the European Parliament, Commission, and Council released a joint statement on the third anniversary of Russia’s invasion of Ukraine, stressing the importance of maintaining solidarity with Ukraine and focus on supporting Ukraine in achieving a comprehensive, just, and lasting peace.