Swiss Authorities Predict Worsening Housing Shortage In 2026

“The causes of the housing shortage cannot be changed so quickly,” Tschirren told Blick newspaper in an interview on Saturday.

The causes include the rising number of households, population growth, immigration and economic development, he says. The latter point is a key factor, said the director

There was a slight slowdown in Switzerland last year due to the uncertainty caused by the US tariffs and companies had become more cautious.

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“When the economy picks up again slightly, the demand for labour and therefore also for housing will tend to increase again,” said Tschirren.

However, it is not only the high demand for living space that plays a role, he pointed out. Insufficient supply and low construction activity are also leading to a shortage.

At the beginning of 2024, the federal government drew up an action plan together with the cantons, cities, municipalities, the property industry and civil society.

It contains over 30 measures to create more living space and, above all, more homes at affordable prices. However, according to the Tschirren, the measures formulated in the plan are aimed at medium to long-term effects.

“I don't see a quick improvement at the moment,” he said.

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Adapted from German by AI/sb