URGENT UPDATE: A new report reveals the alarming state of housing affordability across Europe, highlighting the ever-growing gap between net salaries and rent prices. With housing costs increasingly consuming household budgets, many individuals are struggling to find affordable living options in major cities.

Latest data from the Mapping the World’s Prices report confirms that in some European cities, rent can account for nearly an entire salary, leaving low-income earners and minimum wage workers in dire straits. This crisis is exacerbated by soaring rents in city centers, as documented by Eurostat and the Deutsche Bank Research Institute.

The report details the rent-to-salary ratios for 28 European cities, revealing that cities like London and Lisbon are among the hardest hit. In London, residents spend an astonishing 75% of their salary on rent, while in Lisbon, that figure is slightly above 100%. This means that the average net salary in Lisbon is not enough to cover rent for a one-bedroom apartment.

As of 2025, the report shows significant disparities in net salaries across Europe. For example, average monthly net salaries range from a mere €151 in Cairo to a staggering €7,307 in Geneva. In stark contrast, Istanbul reports the lowest salary among major European cities at €855, while Luxembourg, Amsterdam, and Copenhagen boast salaries above €4,000.

Rents for one-bedroom apartments vary widely across Europe. While Athens offers the cheapest rent at just €595, London tops the list with rents soaring to €2,732. Other cities like Zurich, Dublin, and Amsterdam also exceed €2,000, creating a significant burden for residents.

The rent-to-salary ratio serves as a crucial measure of housing affordability. In Europe, the ratios range from 29% in Geneva to an alarming 116% in Lisbon. In addition to London and Lisbon, cities such as Barcelona and Madrid also see high percentages, leaving residents with little disposable income after paying rent.

Where do residents fare better? Geneva stands out with a rent-to-salary ratio of just 29%, while cities like Luxembourg and Frankfurt follow at 34%. Although these cities feature lower ratios, it is important to note that high salaries in these regions do not necessarily equate to lower rents.

The impact of this crisis is profound. Many individuals are forced to allocate the majority of their incomes to housing, leaving little for other essential expenses. In the broader global context, cities like New York maintain a rent-to-salary ratio of 81%, indicating a similar struggle in other major urban centers.

As the cost of living continues to rise, the need for urgent reforms in housing policy has never been clearer. Authorities are urged to address this issue to ensure that housing remains within reach for all residents. The data presented in this report serves as a stark reminder of the ongoing challenges facing urban populations across Europe.

What’s next? Stakeholders are encouraged to engage in discussions about sustainable housing solutions, as the current state of affordability is unsustainable for the future of city living. As cities grapple with these challenges, residents must navigate an increasingly difficult landscape, making the urgency of this report all the more critical.

Stay tuned for further updates as the situation develops and policymakers respond to this urgent issue impacting millions across Europe.

European cities are facing a growing challenge regarding housing affordability, as recent data reveals stark disparities in rent-to-salary ratios. According to a report by Eurostat, housing costs are consuming an increasingly large portion of household budgets across the continent. The situation is particularly dire in city centres, where average rents can absorb nearly an entire salary for low-income earners.

The Mapping the World’s Prices report, which includes 69 cities worldwide, provides a comprehensive look at net monthly salaries and rents for one-bedroom apartments in European city centres. This analysis highlights the best and worst rent-to-salary ratios across the continent, revealing that in some cases, average net salaries are insufficient to cover rent.

Salary Disparities in European Cities

A closer examination of salary levels shows that averages vary significantly across Europe. In March 2025, net monthly salaries range from a mere €151 in Cairo to €7,307 in Geneva, making Switzerland the highest-paying country overall. In stark contrast, Istanbul ranks lowest in Europe with a monthly salary of €855, followed by Athens at €1,044.

Cities in Northern and Western Europe tend to offer higher salaries, with figures exceeding €4,000 in Luxembourg, Amsterdam, Copenhagen, and Frankfurt. Among the capitals of Europe’s five largest economies, Rome has the lowest average salary at €2,046, while Madrid slightly edges higher at €2,193. Berlin, Paris, and London feature higher averages, with salaries around €3,600.

Rising Rent Costs in Major Cities

The cost of renting one-bedroom apartments in European city centres presents a wide array of challenges. Rents can be as low as €189 in Cairo but soar to €2,732 (£2,365) in London. Other cities such as Zurich, Dublin, Amsterdam, and Geneva report rents that exceed €2,000, while Istanbul and Budapest remain below €900.

The rent-to-salary ratio serves as a critical measure of affordability, indicating the percentage of income that goes towards housing. For instance, Geneva boasts a favourable ratio of 29%, while Lisbon presents a concerning 116%. This alarming figure suggests that the average net salary in Lisbon is inadequate to cover rent expenses. Similarly, single earners in London allocate 75% of their income to rent, a figure echoed in Barcelona and Madrid at 74%.

In cities like Milan and Dublin, more than half of the average salary is consumed by rent, reflecting broader financial pressures. Other cities, such as Rome and Budapest, also exhibit high ratios, with residents spending 65% and 52% of their incomes, respectively.

Where Rent is More Manageable

Conversely, Geneva stands out as the only major European city where the rent-to-salary ratio falls below 30%. Other cities with more manageable ratios include Luxembourg and Frankfurt at 34%, and Zurich and Helsinki at 35%. These ratios illustrate that while housing costs remain high, elevated salaries help to alleviate the financial burden.

In the context of the largest European economies, Berlin has the lowest rent-to-salary ratio at 40%, followed closely by Paris at 45%. In comparison, London leads the pack with the highest ratio at 75%, followed by Madrid at 74% and Rome at 65%.

Globally, other cities facing severe housing affordability issues include Bogota (120%), Mexico City (118%), and São Paulo (102%). In these areas, residents often find their salaries barely cover rent, leaving little to no disposable income.

The OECD reports indicate that housing and utility costs have increased significantly over the past two decades within the EU, highlighting a persistent trend that threatens to impact the quality of life for many residents.

With the cost of living on the rise, the urgency for affordable housing solutions becomes increasingly critical, as many individuals navigate the challenges of balancing their income with housing expenses in an evolving economic landscape.

UPDATE: A 24-year-old motorist was arrested for driving without insurance and under the influence of cannabis during a routine traffic checkpoint in north Dublin. The court has described his actions as a “wrong decision,” highlighting the serious implications of driving while impaired.

Authorities confirm that David McDonagh was stopped at approximately 10:30 AM today, revealing both an absence of valid insurance and the presence of cannabis in his system. The incident raises urgent concerns about road safety and the risks associated with drug use while driving.

The judge stated that McDonagh’s choice to operate a vehicle under these circumstances not only jeopardized his safety but also posed a significant risk to other road users. This case underscores the dangers of impaired driving, especially when combined with a lack of insurance.

Officials are urging all drivers to be responsible and to understand the serious legal consequences of such actions. The court’s decision will serve as a warning to others who may consider driving under similar conditions.

As this story develops, it is essential to remain vigilant about road safety and the legal ramifications of impaired driving. Authorities are expected to release further statements as the case progresses.

Stay tuned for more updates on this urgent matter, and remember to share this news to spread awareness about the dangers of driving under the influence.

UPDATE: A Rathgar car dealer has urgently revamped its plans to transform the former showroom site into a housing development. The new application, submitted for the Murphy&Gunn dealership located at Kenilworth Square South, proposes 19 residential homes, marking a significant shift in the development strategy.

The latest proposal features three blocks of housing, which includes seven two-bedroom, eight three-bedroom, and four four-bedroom units. This revision adds an extra housing unit compared to earlier plans, indicating a response to community needs and feedback. However, it dramatically alters the previous layout, which sought five blocks consisting of 18 housing units and was rejected due to concerns regarding local impact.

Dublin City Council previously denied the initial application citing issues that would adversely affect the area and its residents. The council’s planning report emphasized that the proposed development would disrupt an established building line on Kenilworth Square South, leading to poor design responses on Rathgar Avenue. The report stated, “The proposed development would seriously injure the amenities and depreciate the value of property in the vicinity.”

Residents expressed worries about the potential overshadowing and diminished living standards for future occupants, leading to the refusal of the first application. As the new proposal is now under consideration, Dublin City Council has opened a window for public observations until August 20, 2023.

The community is urged to voice their opinions on the revised plans, as a decision from Dublin City Council planners will follow shortly after this deadline. The outcome could significantly influence local housing dynamics and property values in the area.

This housing development proposal highlights the ongoing challenges in meeting Dublin’s housing demands while balancing community concerns. Residents are closely monitoring these developments, as the implications extend beyond mere architecture to the overall quality of life in Rathgar.

Stay tuned for further updates as this story develops, and join our community to receive the latest news directly. Click here to participate in our breaking news service!