Building a sustainable future: Can the EU’s building sector lead the way?

Why buildings are key to sustainability

Buildings account for more than 30% of the EU's environmental footprint, making them the sector with the highest environmental impact. Thus, addressing the environmental and climate footprint of buildings is crucial – something which requires assessing the current state of Europe's building stock and identifying what is needed to make Europe's buildings more sustainable.

The recently published EEA report “Addressing the Environmental and Climate Footprint of Buildings” provides a forward-looking, integrated assessment of the EU's building stock and explores options to mitigate these impacts. VITO, as coordinator of the EEA's European Topic Centre on Circular Economy and Resource Use (ETC CE), played a key role in the detailed development of the report.

A comprehensive look at Europe's buildings system across life cycle stages

The report provides an in-depth analysis of Europe's building stock, examining the environmental, economic and societal dimensions of its impact. By considering these elements across all life cycle stages, the report provides a holistic view of how to move towards a more sustainable buildings system.

• Environmental impact - Buildings are the largest contributor to environmental pressure in the EU, accounting for more than 30% of the EU's total environmental footprint. They are responsible for 42% of the EU's annual energy consumption and 35% of annual greenhouse gas emissions, underlining their critical role in tackling climate change. In addition, buildings consume about 30% of all materials used annually in the EU, making resource efficiency a key priority for sustainability.
   
• Economic significance - The buildings sector is a cornerstone of the EU economy, representing a €1.7 trillion industry and employing more than 20 million people. This makes it one of the most important sectors in terms of both economic activity and job creation. However, balancing this economic importance with sustainability remains a challenge. Integrating circular design principles and low impact materials into such a massive industry presents a unique opportunity to align economic benefits with environmental goals.
   
• Societal trends - Societal trends are profoundly shaping the future of Europe's building stock. An ageing population and increasing affluence are driving demand for buildings that are more adaptable, energy efficient and responsive to changing needs. Urbanisation is  increasing demand for construction, particularly in cities, where sustainable and climate-resilient solutions happen to be essential: the growing impact of a changing climate requires buildings to not only be robust enough to withstand extreme weather events, but also to actively contribute to broader climate adaptation and mitigation strategies.

Thus, these interrelated environmental, economic and societal factors demonstrate the urgent need for systemic changes to make Europe's building stock more sustainable, and the report emphasises that by understanding and addressing these dynamics holistically, the EU can move towards a buildings system that balances economic growth, environmental responsibility and societal needs. 

The need for a unified European policy strategy

Current policies target different aspects of buildings – such as energy efficiency, climate emissions, construction products and waste management. However, the report underlines the need for a unified policy strategy that integrates all life cycle stages and addresses both environmental and climate issues. Such a strategy would help identify synergies, avoid trade-offs and provide a coherent framework for sustainability.

A vision for 2050: six principles for a sustainable buildings system

The report outlines six key principles to guide the transformation toward a sustainable EU buildings system by 2050:

1. Prioritise the renovation of existing buildings to meet the demand for additional space and transform the EU building stock.
2. Design circular new buildings to increase resource efficiency and reduce waste through circular design principles.
3. Choose construction products with a low environmental impact throughout their life cycle.
4. Facilitate the transition to green energy through buildings, in line with relevant legislation such as the Energy Performance of Buildings Directive.
5. Promote a sustainable buildings sector that is resilient to climate change, provides ecosystem services and contributes to the regeneration of nature and biodiversity.
6. Ensure a fair and inclusive transition to a sustainable EU buildings system that benefits all stakeholders.
    

Building smarter policies for a sustainable future

By focusing on these six principles, future policies can improve the environmental performance of buildings while delivering economic and societal benefits. A lifecycle approach – extending beyond individual buildings to interconnected systems such as energy production, water management, transport and food production – is essential for success. This integrated approach – in which products, buildings, policies and incentives are designed with these interconnections in mind – ensures greater resource efficiency, reduces emissions and promotes resilient, self-sustaining urban ecosystems. It not only ensures sustainability, but also drives lasting environmental, economic and societal change.
 

Working together: unlocking the full potential of sustainability

Collaboration is essential to unlocking the potential of a sustainable buildings system. By fostering partnerships across sectors, from architects to policy makers, and harnessing innovative solutions, we can minimise trade-offs and maximise synergies to create a truly regenerative future.

Carolin Spirinckx, VITO/EnergyVille, Project Manager Sustainability and Circularity Assessments in built environment, summarizes it perfectly: 

“The future is clear: renovating with sustainable materials, improving climate resilience and working with nature are essential steps to building a better future together. The EEA's transformative vision shows us the way forward." 

Our contributing VITO/EnergyVille colleagues Carolin Spirinckx, Steven Claes and Joana Gonçalves  would like to thank their colleagues from the other ETC CE partner organisations, whose active contributions were instrumental in the development of this report. Without their support, this important publication would not have been possible.

• Margareta Wahlström – VTT
• Giovanni Marin – SEEDS
• Alessio D’Amato – SEEDS
• Arlind Xhelili – CSCP
• Emanuele Di Francesco – WRF

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