The decree published authorises IHRU to purchase, construct, and rehabilitate up to 12,000 affordable housing units, with a budget in place.

Housing units created under this authorisation will be added to the Public Stock of Affordable Housing. This stock is a key part of the national strategy to address the current housing crisis by the decade’s end.

The Executive's financial plan distributes the assumption of contractual obligations over fiscal years 2026 to 2030. The official schedule in the legislative decree sets the maximum expenditure ceiling for the current year, 2026, at €188,020,869.

Next year will see the largest budget allocation, amounting to €577,802,444, followed by €386,467,636 in 2028, €408,499,462 in 2029, and a supplementary €290,846,496 to be disbursed in 2030. The supervisory authority clarifies that VAT at the legal rate in force is added to all these partial amounts.

This decree implements the Council of Ministers’ 14 May resolution, outlining steps for IHRU’s coordination and budget planning.

Following the decree, IHRU and local authorities can now execute real estate projects, and tenders for the 12,000 homes; final validation awaits a joint decree from Finance and Housing ministries.

This decree introduces one of the main guarantees: protecting funding for construction projects against the volatility of deadlines for achieving EU targets.

The ministerial resolution explicitly safeguards that, regardless of the schedule for executing and financially recovering investments contracted under the Recovery and Resilience Plan (PRR), capital for constructing public housing at affordable costs will continue to flow uninterrupted until 2030.

To ensure a financial sustainability buffer in the post-PRR period, the legislation clarifies that tax revenues in the State Budget will directly fund a substantial portion of the overall costs, totalling €511.6 million.

Allocating national public funds gives predictability and stability to the construction sector and partner municipalities. This aims to complete projects and place housing in the affordable rental market on time.