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Flemish budget for social housing is hardly used | Abroad

Of the 1.1 billion euros that the Flemish government is making available this year for loans for the construction and renovation of social housing, 194 million euros (construction) and 257 million euros (renovation) respectively were allocated until September. This is apparent from figures that Flemish MP Maxim Veys (Vooruit) requested. “In other words: Minister Diependaele has bad governance,” he says. “He will not get the money converted into housing.”

In recent years, there have also been surpluses at the end of the year. The remaining amount is always carried over to the next budget year. In the meantime, the budget for the construction and renovation of social housing has risen to 1.77 billion euros. “In September, only 25 percent of the funds had been allocated that way,” says Veys. This leaves 1.3 billion euros for the last three months.
The backlog of expenditure is now larger compared to previous years in September.

The basis is a large merger operation on the site. From January 2023, the social housing companies are obliged to join forces with the social rental offices. That brings a lot of uncertainty. In addition, the complex procedures are at least as important. For a new project, a municipality has to look for the right land, and then all permits have to be applied for.
Minister Diependaele acknowledges that the credits can be withdrawn more quickly. He points to the corona crisis as the cause, but also to the merger. “However, this reform is desperately needed.” The minister recently set up a task force to investigate the cause of the delay.

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