The Former Minister of Housing Reiterates the Alarm Bell for Social Housing Crisis

Former Minister of Housing and current senator and president of the National Federation of HLM Cooperative Societies, Marie-Noëlle Lienemann, recently visited Avignon at the invitation of social landlord Grand Delta Habitat. The purpose of her visit was to discuss the National Council for Refoundation on housing and address the alarming state of social housing.

Lienemann highlighted the growing gap between housing prices and income, particularly due to the rise in mortgage rates. In response to this crisis, the government organized the National Housing Reform Council, which held its restitution on June 5th. However, Lienemann expressed disappointment and anger among various stakeholders in the building and social housing sectors, stating that their demands have not been met.

One of the main concerns is the national budget allocated to housing, which Lienemann believes will be significantly reduced. She also expressed regret that a proposal to regulate land prices was not accepted, despite widespread support. The situation regarding social housing is also tense, as reimbursements are indexed to the rate of the Livret A, which is reaching a bottleneck due to recent revisions and potential future increases.

Furthermore, Lienemann pointed out that the zero-interest loan system, which facilitates property access, has not been maintained in 93% of the country. This means that popular and modest categories will no longer have access to property and will remain in the social housing sector. Lienemann emphasized the need for more housing, particularly affordable housing, as only 88,000 social housing units are built each year compared to 120,000 to 130,000 units in previous years.

Locally, the situation is dire, with 18,000 applicants waiting for social housing in Vaucluse and 20,000 in Gard. Michel Gontard, the president of Grand Delta Habitat, expressed concern over the scarcity and cost of land, as well as the lack of commitment from certain elected officials. He described the situation as a “social bomb,” especially considering that 76% of the population in Vaucluse and Gard is eligible for social housing.

In response to this crisis, Lienemann called for regulatory policies on land prices and rents, as well as the introduction of a 5.5% VAT rate on the entire range of housing. She also advocated for the abandonment of the solidarity rent reduction levy in exchange for a commitment to produce more housing. Gontard lamented the financial burden placed on social landlords, which amounts to 14 million euros annually for Grand Delta Habitat, equivalent to 400 unbuilt housing units.

Overall, the results of the National Council for Refoundation on housing were deemed unsatisfactory by Gontard, who emphasized that the concerns raised are unanimously shared. Lienemann criticized the government’s focus on saving in areas such as retirement, unemployment, health, and housing, suggesting that they may be banking on a decrease in housing prices. However, she expressed skepticism, noting that previous drops in prices have quickly been followed by increases. The lack of affordable housing remains a pressing issue that needs to be addressed.

What are the financial challenges faced by low-income households in accessing home ownership through government loans?

Litates home ownership for low-income households, is not being effectively implemented. She urged the government to take immediate action to address this issue and ensure that these loans are accessible to those who need them.

In addition to discussing the financial challenges of social housing, Lienemann also highlighted the need for better quality housing. She emphasized the importance of investing in renovations and improving energy efficiency in social housing units to provide comfortable and sustainable living conditions for residents.

During her visit, Lienemann also met with representatives from Grand Delta Habitat to discuss the organization’s efforts in providing affordable and quality housing in the Avignon region. She praised their commitment to social responsibility and encouraged other social landlords to follow suit.

Overall, Lienemann’s visit to Avignon shed light on the urgent need to address the crisis in social housing in France. She called for increased government intervention and funding to ensure that housing remains affordable and accessible to all citizens, regardless of their income. With the alarming state of social housing, Lienemann hopes that her advocacy and the work of organizations like Grand Delta Habitat will bring about necessary reforms and improvements in the sector.