Poland to Spend 8.7 Billion Zlotys on Social Housing in 2026
The government is allocating a record 8.7 billion zlotys to social and municipal housing in 2026, planning to build and renovate 18,000 apartments for families affected by the rental affordability gap.
Record Budget to Combat Housing Crisis
The Polish government has announced its largest housing investment package ever — 8.7 billion zlotys for social and municipal housing in 2026. This amount includes 6.7 billion zlotys from the state budget and additional funds from the National Recovery Plan. This is 2 billion zlotys more than the previous year and more than double the total spending on this purpose in the years 2020–2023.
The program is a response to the deepening housing crisis affecting millions of Poles. According to estimates, the housing deficit in Poland ranges from 0.5 to as many as 2 million units, and over 25 percent of citizens are in the so-called rental affordability gap — earning too much to qualify for municipal housing, but too little to afford market rental rates.
How Will the Funds Be Distributed?
Over 4 billion zlotys will go to non-refundable grants for municipalities building rental apartments, municipal housing, and dormitories. Another 2 billion zlotys will be allocated to preferential loans granted by Bank Gospodarstwa Krajowego under the social rental housing program (SBC). The loan terms are favorable — financing up to 80 percent of the investment value, a repayment period of up to 30 years, and interest rates at the WIBOR level without a bank margin for the first five years.
A new element of the strategy is the inclusion of 3,500 housing cooperatives in the support system, which will gain access to grants covering 15 percent of the investment value and low-interest (2%) loans for 50 years.
18,000 Apartments This Year
In 2026, the government plans to contract the construction and renovation of 18,000 apartments. In total, 35,000 new units are to be built in the three-year period 2024–2026, implemented by Social Housing Initiatives (SIM), Social Housing Associations (TBS), and housing cooperatives. The funds will be distributed through the BGK Subsidy Fund.
For comparison — in the first half of 2025, only 2,000 municipal and social apartments were completed, which constituted only about 3 percent of new units on the market. So far, over 110,000 apartments have been built under BGK programs.
Demographic and Market Background
The scale of the investment stems not only from housing needs but also from the dramatic demographic situation. The number of births in Poland fell from 413,000 in 2010 to 238,000 in 2025, and about a quarter of maternity wards have closed in the last 15 years. The lack of available housing is widely cited as one of the main barriers for young families.
The market context worsens the situation — according to OECD data, rental costs in Poland have increased by 62 percent since 2015, while average wages have increased by only 24.5 percent in the same period. The homeownership rate has fallen from 65 to 60 percent in just three years.
Long-Term Strategy to 2030
The 2026 program is part of a broader strategy — by 2030, the government plans to allocate a total of up to 45 billion zlotys to social housing, with an annual limit increasing to 10 billion zlotys. As Deputy Development Minister Tomasz Lewandowski emphasized, the goal is to permanently increase the supply of affordable housing and systematically solve the problem of the rental affordability gap, which affects an estimated 4 million Polish families.
