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In Europe, the resumption of evictions for non-performing loans is exacerbated by inflation

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The eviction of a tenant or landlord from their home is much more than preventing the causes of such evictions, even without considering the psychological and social damage of evicting entire families. This is a statistical observation established by the European Federation of National Associations Working with Homeless (Feantsa), the experience of 130 members in thirty countries, including all members of the European Union (EU).

The organization’s 2022 report, published on June 30, informs public authorities and national opinions about the resumption of expulsions from 2021. He explains that with the return of inflation, there has been a surge in unpaid rents and credits.

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Pandemic, in 2020, urged governments to take steps to protect tenants and buyers. Most countries (Germany, France, Spain, Italy, Ireland, Austria, Belgium, etc.) have been sentenced to moratorium on evictions. “An Unexpected Paranthesis”, The report suggests – sometimes rent freeze (Ireland) or, as in France, aid for payment of rent, charges and credits.

“Great Social Expenses”

By 2020, one tenth of poor European households – less than 60% of the country’s average income – was in a state of no rent or credit.

Also read: The article is reserved for our subscribers With the end of the winter holidays, the return of rental evacuees after two years of calm due to the pandemic

However, conservation measures have played their part, with the number of evictions declining before they can rise again by mid-2021. For example, their number in France increased from 17,000 in 2019 to 8,156 in 2020, and then to 12,000 in 2021. But this period is over.

Following the lifting of the two-year moratorium, Italy expects a wave of 100,000 expulsions this year, three times higher than by 2020. 20%, their recovery, by May 2021, an increase of 60% to 3,038, the number of families at risk of eviction.

The report shows that dealing with the unpaid debts that motivate them will cost more than preventing evictions. Thus, in Vienna (Austria), the system of compensation for unpaid bills costs the state 24 242 per person per year, while their rehabilitation cost is യൂറോ 600 per person and 7 7,200 per month, or 7 7,200 per year, which is thirty times more! In addition, in Germany, spending യൂറോ 1 on advice and handling unpaid bills saves യൂറോ 7 on temporary rehabilitation, social support and reintegration. In Scotland, a nine-month temporary stay, on average, costs 24 24,000 (, 27,800) per person: “Many studies illustrate the enormous social costs of homelessness”The authors of the Feantsa report conclude.

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