The European Commission wants to create a common framework for housing measures across the EU, including guidance on when regional and local authorities may restrict short-term rentals. The proposal follows a series of local crackdowns on holiday lets, introduced as popular destinations struggle with housing shortages and rising prices.
The Commission’s aim is to make the rules for short-term rentals more consistent across the bloc and reduce legal uncertainty. Cities including Barcelona, Paris and Venice have already taken their own steps to limit the effects of platforms such as Airbnb on local housing markets. Those measures range from tighter quality standards and pauses on new licences to outright bans, leaving a patchwork of rules that has prompted legal challenges.
European Commission President Ursula von der Leyen presented the proposal as part of the EU’s wider effort to address the cost of living. In a statement, she said it would help to “tackle Europe’s housing affordability” by giving local authorities and communities clearer guidance that remains “anchored in local realities.”
#EU: Share of 'entire property' short-term rentals in total conventional dwellings per Functional Urban Area (FUA).
— Apostolos Kleitsogiannis (@apostolos_kl) September 14, 2026
Indicator Measured: The percentage of residential dwellings listed as full-home short-term rentals (e.g., Airbnb listings) compared to local housing stock.
EU… pic.twitter.com/RSoDmB3xRD
Under the proposed approach, however, local authorities could not restrict short-term rentals without evidence of a housing problem. Relevant indicators might include a high ratio of property prices to local incomes or a sustained rise in housing costs over at least a decade.
These criteria are intended to show that any restrictions are necessary and proportionate. That could make them easier to defend against claims that they breach EU law, including the rules governing services. Rental providers have already brought such challenges in cities including Barcelona, where authorities are attempting to scrap 10,000 short-term rental permits. Barcelona would be likely to meet the proposed conditions: over the past decade, rents have risen by nearly 70%, while home purchase prices have increased by 38%.
Europeans need more affordable homes. Rents are soaring & demand is outpacing supply.
— Dan Jørgensen (@DanJoergensen) September 9, 2026
Too many homes are being treated as assets instead of places to live.
With the Affordable Housing Act, we are giving local authorities the possibility to take action within EU law.
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The proposal builds on earlier EU action. In 2024, the European Parliament adopted measures designed to improve transparency in the short-term rental sector. However, those rules operated on an “opt-in/opt-out” basis, so Member States were not required to take part. The new draft would still need approval from the relevant EU governments and the European Parliament before it could take effect, a process likely to take months. If adopted, it would be the EU’s first framework for aligning housing measures across the bloc and would form part of broader efforts to rethink how European tourism is managed.
Critics argue that the framework may still rely too heavily on self-regulation and therefore fail to prevent disproportionate local rules. Alexandre Roure, Head of Policy at the Computer & Communications Industry Association (CCIA Europe), said: “Without independent scrutiny or effective redress, this proposal will remain a paper tiger, leaving disproportionate restrictions in place and undermining the legal certainty the Affordable Housing Act is meant to provide.”
