Expanding the Social Rental Housing Stock in Flanders: Money Isn't the Problem

Abstract

In Flanders, social rental housing serves as the primary policy instrument to address housing affordability issues. However, the current supply of social housing falls significantly short of meeting all needs. Despite broad political consensus and increased government budgets for social housing since 2013, it has become increasingly difficult to allocate the budget to new investment projects. By the end of 2021, only a fraction of the annual credit had been allocated, sparking discussions. This article explores two key questions: How can we explain the delay in the supply of social housing when the need is acknowledged and the funds are available? How can this problem be resolved? To answer both questions, we use administrative data, survey data, and insights from group interviews with social housing associations and municipalities. Behind the answer is a multitude of reasons at various points throughout the planning process. Many problems stem from coordination challenges in a socio-economic environment that grows ever more complex. The notion of multi-level governance provides insights into the intricate web of interactions and negotiations. Based on this analysis, we offer recommendations for Flemish policy, local governments, and social housing associations.