High earners live in subsidised housing
The government body is calling for an overhaul of the subsidised housing system.23 May 2008
THE NETHERLANDS - The Netherlands Bureau for Economic Policy Analysis says inequality is rife in the house rental market, with many high earners living in rent-assisted accommodation ear-marked for low earners.
The government body is calling for an overhaul of the subsidised housing system and for measures to encourage more house owners to rent out their properties.
Each year, the state invests EUR 14 billion in subsidised housing, aimed at keeping rents affordable for low-income earners.
But the system often has a contrary effect, as there is no monitoring of the tenants' income.
As a result, high earners occupying rent-assisted accommodation have little incentive to move to a house or flat where the rent is not subsidised.
[Radio Netherlands / Flickr contributor roland / Expatica]