• 18/06/2024 18:24

What is preventing the creation of a social housing fund and how are they planning to resolve this issue?

In Ukraine, the prerequisites are being prepared for the creation of a fund of social housing, which will not be privatized. This was announced by the head of the Verkhovna Rada Committee on the organization of state power, local self-government, regional development and urban planning, the head of the Servant of the People party, Elena Shulyak.

What is preventing the creation of a social housing fund and how do they plan to resolve this issue

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The corresponding bill began to be prepared without waiting for the adoption of the fundamental, framework law “On the Basic Principles of Housing Policy.”

According to Shulyak, the implementation of an effective housing policy is impossible without a foundation from the housing stock, which will be owned by communities. Currently, 98% of the total housing stock is privately owned, so communities have nothing to operate to meet the housing needs of their residents.

This was the result of large-scale privatization in the 90s of the last century. Therefore, in order to create and successfully operate a social housing stock, from which housing for social rent will be provided, the privatization of housing must be prohibited.

“Social housing in EU countries is in state and municipal ownership; privatization was not carried out there, as in Ukraine, so there, unlike Ukraine, there is something to dispose of. It is also important for us to take this step – to ban the privatization of social housing, since without this norm the new housing legislation will not work,” Shulyak explained.

She also added that the abolition of the privatization of this type of housing could cause heated debates and populism, since many representatives of the Verkhovna Rada will defend the current housing code, the vast majority of the norms of which, according to the conclusion of international experts, are absolutely ineffective, since they are hopelessly outdated.

The emergence of a housing fund for social purposes, the norm on the abolition of the privatization of housing from it, projects that will be implemented with the help of this instrument in the sphere of the new housing policy – the main topic of the second bill, which will become part of the housing policy reform.

According to Shulyak , the development of this bill “On Social Housing Fund” has already begun, without waiting for the finalization and adoption of the framework bill “On the Basic Principles of Housing Policy.”

She also added that, as international practice shows, housing the social fund should be as stable as possible. That is why the privatization of such housing is impossible.

At the same time, carrying out this reform is not just a requirement of the time, but also a requirement of Ukraine’s European integration obligations, as well as a condition for receiving financial assistance in the amount of 50 billion euros from the EU under the Ukraine Facility program, the first trans of which Ukraine received in March.


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