EUROPEAN HOUSING The shortage of dwellings and their inadequate character have constituted a serious problem in most European countries. The difficulties of solving it have been increased owing to the World War both in the belligerent and the neutral countries; and have been specially aggravated by inflation and consequent instability of currencies. Loans and subsidies to stimulate the erection of dwellings, or remission of taxation upon them when erected, have in one form or another been generally adopted. In many conti nental countries a controversy has raged which plays small part in English housing; that between the one-family dwelling, which so overwhelmingly prevails in England, and the multi-family dwellings in the form of blocks of flats, or tenements, which prevail in so many continental cities. In some cases the posi tion as between these two types of dwelling has been influenced by special economic or political considerations. In Vienna, for example, the great scarcity of food for some years after the war caused the garden attached to the one-family dwelling built out side the city to be of quite unusual economic or rent paying value, and for some time attention was mainly directed to building one family dwellings with good gardens. Later, economic and political considerations produced a reaction from this policy, and a reversion to the general custom in the city of Vienna to building dwellings in large blocks. In England, where flats play so small a part in the general housing, the importance of the controversy abroad is not generally realized. Exact statistics are not available, but an estimate made after enquiry in ten of the larger cities gave a proportion, outside London, of over 97% cottages, and less than 3% flats, of which over one-third would be in buildings of only two storeys. The figures would be different in London; but of the dwellings built by the London county council probably over 8o% have been single family cottages. As regards the rela tive cost of the two types of dwelling, evidence from different countries is conflicting. This is partly accounted for by the fact that building custom, land values and road charges tend to be come adapted to the most general form of development in each country. Also climatic conditions or building regulations may require for the single family cottage a thickness of wall con struction not required in England. In England, per square foot of accommodation provided, it is seldom that flats cost for the building as little as single family cottages. In some other countries where flats predominate it is reported that the building cost apart from land and roads is somewhat less per square foot than the cost of single family cottages. It is interesting to compare the methods of assistance and results attained in some of the Euro pean countries. Particulars can only be given in very general terms however because the methods adopted vary not only in the different countries, but in the different states composing the countries, and from city to city within the same state. In many countries on the continent the cities possess a degree of autonomy in such matters much in excess of that possessed by towns in England.
In Austria co-operative societies have had a legal status since the Law of 1873. Subsequent to the World War the position was exceptionally difficult, the single city of Vienna representing about a third of the population of the reduced Austria. Famine conditions for some time existed, and there was a great exodus of population, officers from other parts of the old Austrian empire returning to their various cities and people moving out to the country, where living conditions were easier. The sudden collapse of the value of money coupled with rent restriction which was not at first varied to meet the money situ ation, resulted for a time in house room being the only cheap commodity. A great expansion of accommodation took place, the one roomed dwelling having been very prevalent in the city before the war ; families gladly took advantage of the low rents and the available space to secure a more adequate number of rooms. The urgent necessity of growing food as a means of sus tenance produced a strong reaction from the general pre-war tendency to live in small flats within Vienna, and an interesting movement sprang up for the creation of housing settlements with small
dwellings having from four to five hundred metres of garden land attached to each. This movement was assisted by the Society of Friends and others interested in the city, and a number of settlements (Siedlungs) were built on land largely provided by the city of Vienna from the extensive green belt in their possession. The co-operative building societies grew to an enormous scale, tens of thousands of applicants for houses being enrolled. In spite of the rapidly depreciating currency and other difficulties, great efforts were made to continue the building of dwellings in the settlements. An interesting feature was the condition that each intending householder must contribute from 1,o00 to 2,000 hours of free labour to assist in the erection of the dwellings. This labour, being unskilled, was largely used in digging foundations, making roads, and in the preparation of simple concrete blocks, and in other ways assisting the limited number of skilled workers available. In the summer evenings and at the week-ends when the intending occupants of the dwell ings could get free from their ordinary employments, people of all classes could be seen busily engaged in carrying out such operations as they could in connection with the erection of their dwellings. At a latter date after the stabilization of the Austrian currency, owing to the need to press forward more rapidly with the erection of large numbers of dwellings, owing also to certain political considerations, there was a return to the building of the small flat dwellings within the town area. Quite a number of these have been erected in handsome blocks of buildings by the city of Vienna. There is in the city considerable conflict between the advocates of the two policies, those who desire to see the con tinued erection of Siedlungs containing one-family dwellings with ample garden space somewhat on the lines of the English housing schemes, and those who favour the housing of the people in large blocks of small tenements within the central area of the city.
During the nine years up to Dec. 1927 31,542 dwellings were erected in Vienna, and the building programme of the city con templated erecting a further 30,00o in the following five years.
The construction of dwellings was completely ar rested during the World War and after, until it was stimulated by the application of the housing law passed in Oct. 1919. Un der this act was founded the Societe Nationale des Logeptents d Bon Marche. This central society is the medium through which assistance is given to the regional building societies which are public utility societies and number about 261. Loans have been given to the full value of the lands and buildings under the com plete supervision and approval of the ' Societe Nationale, in this way differing from most countries where loans have been given only for a proportion of the value. The shareholders of the societies are the State, the provinces, the municipalities and other public institutions or private persons. The first 570, 000,000 francs were lent at 2% plus 0.75% sinking fund, plus 0.25% general costs, the period being 65 years. The State bears the difference between the rate at which the money can be raised and this low interest charged for the loans, thus giving in effect i substantial subsidy. After allowing for their own expenses, re pairs, etc., it will be seen that the societies would be in a posi tion to let dwellings at a rental of from 4.2% to 4.3% of the cost. For the following ioo,000,000 fr. allotted in 1927 interest is raised to 3% and a further 300,000,00o fr. has been pro posed with interest at 31%. With the first 570,000,000 fr. there were built 33,00o dwellings, including apartment dwellings and one-family houses. It is expected that with the next 400,000,000 fr. there will be built about 13,00o dwellings.
In addition to the above arrangements, subsidies have been given to provide for people building for themselves varying from 2,500 fr. to 3,500 fr. per dwelling and 18,000 houses were built under this arrangement up to 1926, when owing to the financial stress and the depreciation of the currency, this form of subsidy was stopped. An addition to this subsidy has been made by some provinces and a very small number of munici palities. It is contemplated that this subsidy may be again re newed. A further subsidy on similar lines is given to the pur chasers of houses built by the societies already referred to. In this case the subsidy is not paid in cash, but is given in the form of a reduced price, and some 6,800 of the houses built by the societies have been sold by this method. With the money re ceived for such sales the societies build other houses. It is pro posed to give additional assistance by exempting from the land tax for a period of ten years every dwelling erected under a certain value.
As indicating the disturbance in conditions, prices, etc., which has caused and is still causing difficulty in dealing with the housing problem in Belgium, the following figures may be of interest comparing conditions in 19i4 with those in 1926.
The following measures are recommended for dealing with the slums and the housing problem by La Ligue Nationale Belge contre les Taudis, which has been created with the approval of the government and the patronage of the king.
(I) Inspection of dwellings.
(2) Construction of cheap dwellings, 20,000 t0 25,000 francs.
(3) Subventions to families needing it to build or buy their houses, up to 6,000 fr.
(4) Exemption from property tax for in years.
(5) Reconditioning old houses and closing slums, with recourse to the Crown if the municipality fails to act.
(6) Sanitary inspection of dwellings to be independent of local authorities.
(7) Education in housekeeping.
The State, the department and the commune each take part in promoting the building of houses for the working classes. The communes can themselves undertake to contract for the building of houses for large families, and owing to the anxiety as to the diminishing population, special facilities are given for houses for larger families ; but most of the work is done through co-operative societies known as Societes d'Habita tions a bon marc/ie (d'H.B.M.). The State assists these societies by granting loans at less than the market rate of interest; fre quently at 31%, up to 6o% of the cost of the building or the selling price, whichever is the least, but where repayment is guaranteed to the State by a department or commune the pro portion may be increased to 75%. The State has also given subsidies up to 3 of the cost of the building to communes, or ganizations (d'H.B.M.), and certain other public or semi-public bodies willing to construct houses that are to be let at the ordinary market rent and are to be available for the use of large families having more than three children under sixteen years of age. The communes are empowered to make donations to societies (d'H.B.M.) of land area for purposes of construc tion and may also make loans to them. They may subscribe to the shares of such societies or may guarantee the interest on those shares up to 3% for 20 years. They may also guarantee interest and sinking fund of loans which are approved by the public offices. All such new buildings have been given exemption from certain taxes for a period of fifteen years. There are about
co-operative housing societies that were actively working before the World War. In addition to the co-operative societies there are public offices for cheap houses of which the boards consist of 18 members, six appointed by the prefect, six by the de partment and municipalities jointly, and six by various institu tions such as trade unions, savings banks, mutual benefit societies, housing associations, etc. Societies (d'H.B.M.), public offices, etc., in 1928 received subventions equal to 33% of the building cost and loans up to 52% of the cost at 3% interest, repay ment spread over 4o years. The advantages are granted where two-thirds of the houses are let to families with at least four children under 16 years of age. The estimates of the number of new dwellings required in France have varied very much. In 1921 an estimate of 500,000 for the whole of the country was made by Bonnevez and Loucher, while the bureau of municipal statistics estimated the urgent need for Paris at 47,794, and that in the remainder of the department of the Seine as 13,924. There were those, however, who consider that these figures underesti mate the needs.
In Germany the maximum difficulties have been experienced. The housing problem was a serious one before the World War; rents had risen until they represented about 20% of the incomes of the mass of the people. The greatest fluctua tions in currency and instability of conditions generally, have had to be faced. Excessive speculation in land owing partly to comparative simplicity of transfer had seriously hampered de velopments in many places. Co-operative housing societies for building dwellings had been fostered by the Government and by municipalities to counteract the evils of speculation and specu lative building. Of these societies something like a thousand were formed between 187o and the commencement of the war. A public audit of their accounts was required, and their capital was obtained partly by shares taken up by investors, partly from Governmental and other public bodies. The war brought about an acute shortage. The emergency was met by varying methods in different States and cities, but general control of rents was in troduced, and in many States a rationing of house room in exist ing dwellings was put in force , each family being allowed so many rooms. In some cases a maximum was fixed of three rooms for the ordinary family, and the householder was required to take in tenants or lodgers to fill the remaining rooms in the dwelling. Subsidies of various kinds were given to stimulate building, and owing to the instability of financial conditions, it may perhaps be said generally that up to 1924 the subsidies were given in forms which represented the amount of capital which would be lost permanently as a result of building operations. The in flation which so seriously increased the difficulties of building new houses had the effect on all existing buildings of practically can celling the mortgages, which could be, and were, extensively paid off in the debased and almost valueless currency. Subsequently the position was stabilized, so that all mortgages paid off before June 15, 1922, were regarded as completely cancelled, but those paid after that date, or left standing, were to be commuted in the revised currency at 25% of their original value. In view of the great relief thus conferred on the owners of pre-war buildings, a tax, known as the house interest tax, was imposed on all such buildings.
After 1924 there was no longer a cash subsidy, but cheap second or third mortgages were arranged by the States or muni cipalities coming behind the first ordinary and very expensive mortgage, the latter costing from six to twelve per cent. Interest on the cheap mortgages was generally fixed at about 3%, plus 1% for repayment of the capital, but during the first three years in many cases a nominal charge of one per cent without any re payment was fixed. The money to provide for this reduced in terest came largely from the house tax referred to above.
Holland, a non-belligerent country in some ways able to profit by the World War, nevertheless was 'faced with a serious housing problem, and undoubtedly handled it with great ability and zeal. Both in regard to the development of new areas for cottage dwellings, and of those for blocks of fiats, a degree of skill, architectural taste and originality has been de voted to the laying out of the sites and the designing of the build ings, which has won the admiration of all housing experts.
In spite of its good fortune in keeping out of the war and being able to preserve a sound currency, Holland in common with other countries was faced with the difficulty of high prices rendering the erection of dwellings to be let at possible rentals over long periods unremunerative. Moreover in many of her most important towns no buildings could be erected except on an expensive foun dation set on deeply driven piles and with a raising of the surface ground from ten to fifteen feet. Under the Housing Act of 19o1 facilities were in operation for the granting of loans for housing purposes both from the State and municipality, very largely operated through building societies, such as are known as public utility societies in England, and from 1916 to 1927 subsidies were granted in addition to loans. The State and the municipality under took to bear jointly the loss due to the difference between actual rents obtained for the dwellings and what would have been an economic rent, the State paying 75% of the deficit and the munici pality 25%. In 192o a scale of minimum rents was fixed accord ing to the space provided, the percentage of the expenses to be covered by the rent rising with the increase of cubic space, and varying from so to 7o per cent of the economic rent; and by 1924 it was required that new dwellings should bring in at least 90 per cent of the economic rent.
One peculiarity of the loans in Holland has been that when made to approved public utility societies loans have been given up to i00% of the costs of the building. Such loans, however, were not granted direct, but through the local authority.
Italy before the World War had given legal status to public utility societies under the Housing Act of 1908. After the war by the Act of Nov. 3o, 1919, special provision was made for encouraging building. This act made a distinction between "eco nomic" houses, and houses for the people (case popolari), which were defined as those constructed by corporate bodies, such as communes, communal institutes, co-operative societies or indus trial or agricultural concerns for letting, but not for sale. Provi sion was also made for houses built by loans ("economic") con structed by co-operative societies for their members, either to become their individual property or for hire.
Under this act facilities were given for financing building of "case popolari" and "economic" houses by means of loans and by way of subsidy, the State may contribute to the extent of 21% towards the amortization and payment of interest on such loans. Also power is given to grant special fiscal facilities in respect of dwelling houses, and the communes are empowered to co-operate for the direct construction of houses themselves, or through special institutes and for the taking over of the necessary land, and for the provision of public services. In this act no assistance was given to private enterprise working for speculative profit.
For this reason, among others, from 1923 a change of policy took place. The contributions for amortization purposes were discontinued, but the fiscal facilities were extended by a decree of March 8, 1923, which provided exemption for 25 years from the building tax for all new buildings and extensions to existing build ings for use as dwellings, hotels, offices and shops, whether carried out by private enterprise or otherwise provided the extensions were completed by Dec. 31, 1926. The exemption was extended to thirty years in respect of "case popolari" and "economic" houses constructed by the communes direct, or by institutes under their direct control. The provisions proved effective in reviving private building enterprise, and from the second half of 1923 onwards, building was actively resumed. The commune increased the as sistance by reducing the duties payable on the necessary building materials; by placing municipal land at the disposal of the builders on favourable terms; and by directly subsidizing in the form of capital and contributions or amortization. The approach of the date, Dec. 31, 1926, at which these provisions were to expire, gave rise to frantic building activities resulting in scarcity of labour and an upward trend in prices. To check this movement, on Aug. 3o, 1925, the period for the completion of the dwellings was extended to Dec. 31, 1928, provided, however, that they were commenced within two months from the date of the official publication of the decree. This had the effect of limiting the con cession on the one hand, but, on the other hand, extended the period for carrying out the work, and thus greatly eased the strain on the building industry. In regard to dwellings commenced sub sequent to Oct. 31, 1925, the remission of the building tax was graduated in regard to houses completed before Dec. 31, 1940.
By a decree of June 3o, 1927, luxury type of building was for bidden for twelve months in order to relieve the strain on the building industry.
Aldridge, The National Housing Manual (1923); Bibliography.-H. Aldridge, The National Housing Manual (1923); H. Barnes, Housing, The Facts of the Future (1923) ; H. Barnes, National Housing (1924) ; R. L. Reiss, The New Housing Handbook (1925) ; F. E. Fremantle, The Housing of the Nation (1927) ; L.C.C., L.C.C. Housing (1927); Ministry of Health, The Housing Manual (1927) ; Manual on Unfit Houses and Unhealthy Areas (191q) ; Annual Reports; Census Reports, 1q11 and 1921, Hansard; Memo randum of Housing Panel, Ministry of Reconstruction (1918) ; Report of Tudor Walters' Committee (1918), C.D. 9,191; Report of Advisory Committee on Cottages, Board of Agriculture (1915) ; International Federation for Housing and Town Planning, Bulletins and Conference Reports. (R. U.; E. U.; X.)
