Social housing is being prepared by the commission, parameters will be established by the end of the year

Source
Kateřina Krausová
Publisher
ČTK
06.05.2014 18:30
Czech Republic

Prague

Social housing in Courbevoie, France
Prague - Today, preparations for a new model of social housing began in the Czech Republic. A commission composed of representatives from ministries, local authorities, regions, and non-profit organizations will prepare it. The basic parameters should be ready by the end of this year. It is expected that some social housing units will be built. Minister of Labor Michaela Marksová Tominová (ČSSD) stated this to reporters before the team's first meeting today. According to the plan, the outlines of the social housing law should be on the table next year in the second quarter, with the actual provisions following a year later.
    "An agreement on the fundamental substantive parameters should be reached by the end of the year. We should manage that; time is pressing," said the minister.
    The commission, led by Deputy Minister of Labor Zuzana Jentschke Stöckelová, will meet regularly. However, working groups will meet more frequently. They will focus on areas such as social work, standards for social housing, or benefits. According to Marksová, part of the social housing stock should consist of new apartments that will be built. "The main agreement must be on what the role of the state, municipalities, non-profit organizations, and other entities will be. One of the biggest problems is securing financing. Although there were some ideas in the past, they always collapsed on funding," the deputy stated.
    Social housing does not exist in the Czech Republic. People in need often end up in inadequate and overpriced accommodations. Recently, seniors have also been entering these facilities. According to experts, around 100,000 individuals could live in these accommodations. Spending on housing benefits and the number of recipients are rising sharply. While in 2007 an average of 27,340 people received housing supplements monthly, amounting to 1,732 crowns, last year the state issued 65,100 benefits, with an average amount of 3,608 crowns. In the year before last, housing supplements amounted to 1.67 billion crowns, while last year it exceeded 2.81 billion.
    In the Czech Republic, in addition to supplements, a housing benefit is also provided. This benefit is entitled to the owner or tenant registered in the apartment if 30 percent of their income or their family's income, or 35% in Prague, is insufficient to cover the costs of adequate housing. The benefit corresponds to the difference between the established living costs based on the size of the residence, the number of people in the household, and energy prices, and between 0.3 times or 0.35 times the income. Supplements are received by those who qualify for housing benefits. The benefit aims to cover housing expenses so that people have enough left for living costs.
    The commission will initially assess the proposals and concepts for social housing so far. The latest one was prepared last year by the Ministry for Regional Development. According to it, social housing buildings were to be established. Experts rejected the idea, arguing that they would merely create more accommodations and ghettos. The Ministry of Labor had previously proposed that people granted the status of housing distress by municipalities would be eligible for social housing. The state or municipalities should then assist them in securing or mediating an apartment, with benefits contributing to its maintenance. According to the deputy, it is necessary to determine the group of individuals who could receive this assistance. Social work directly in families or services should also be strengthened.
    According to Linda Sokačová from the Platform for Social Housing, the focus should not only be on the issue of accommodations. She also stated that the commission should stop considering who is requesting help but should focus on the situation individuals are in. Setting boundaries for income and housing costs is deemed appropriate. "The backbone of social housing should be housing in standard apartments. Our goal is to create the most optimal solution that will not then be torn apart by individual deputies and senators and will not result in a completely different norm," stated Sokačová.
    According to Vice-Chairman of the Czech-Moravian Confederation of Trade Unions Vít Samek, social housing is also a topic for the trade unions. As early as summer 2012, union leaders presented their program, proposing the construction of 50,000 apartments with lower rents. They argued that it would help not only those in need but also the economy by revitalizing construction and creating numerous jobs.

The number of housing benefits and supplements, as well as the average amount of benefits for individual years:

Year Number of housing
benefits
Average housing
benefit in CZK
Number of housing
supplements
Average housing
supplement in CZK
2007 104,461 1,217 27,340 1,732
2008 86,480 1,617 20,258 1,890
2009 97,891 2,062 19,885 2,172
2010 122,724 2,436 23,395 2,432
2011 142,624 2,725 26,527 2,633
2012 163,328 2,952 41,509 3,205
2013 193,602 3,200 65,084 3,608

Source: Ministry of Labor

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