News2023.06.14 16:41

Lithuania’s low-income families cannot afford to keep homes warm – OECD rep

BNS 2023.06.14 16:41

Due to the high homeownership rates in Lithuania, low and middle-income families are unable to keep their homes warm, according to the Organization for Economic Co-operation and Development (OECD).

With 90 percent, "Lithuania has the largest share of homeowners in the OECD, posing a range of challenges for policymakers", Mark Pearson, deputy director of employment, labour and social affairs at the OECD, said on Wednesday.

He was presenting an OECD study on housing availability in Lithuania.

According to data from 2020, quoted by Pearson, Lithuania had the third-worse energy class gap in housing among the OECD countries. Only Greece and Portugal scored worse.

"Housing quality gaps mean that many low and middle-income households cannot afford to keep their dwelling warm," he said.

OECD recommends that Lithuanian authorities improve housing quality and energy efficiency, strengthen support for low-income households to buy a home, review the support scheme for young families, and eliminate the illegal home rental market.

The OECD study shows that the average citizen in Lithuania pays too much for housing, according to Lithuanian Environment Minister Simonas Gentvilas

Half or more of the population are "trapped" in poor quality and energy-inefficient housing, he said, adding that a significant number of people do not even have normal sanitation conditions.

"We need to rethink ways Lithuania will help people to afford housing, to improve housing affordability and to improve housing for those living in poor housing conditions," the minister said.

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