Advisory Center for Affordable Settlements & Housing

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Edited By Saba Bilquis
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Hungary: The Possibilities and Limitations of Housing

The paper explores the possibilities and limitations of a fixed-term housing-led project targeting rough sleepers using an example of an on-going project in Budapest, Hungary. Firstly, the paper introduces homelessness in the Hungarian context, focusing on the lack of social housing, limited housing benefits, and the multiple barriers rough sleepers face when trying to access standard housing. The paper discusses an example of a housing-led project in Budapest, which offers housing and support services to 20 homeless people for the duration of 12 months. The paper considers the strengths and limitations of this short-term support scheme. Finally, the paper will draw on some concluding considerations on a short-term project such as this and some of the lessons to be learned. The Hungarian social welfare system is both overly-restricted and inadequate in responding to those living below the poverty line. Many of those who are unemployed are not entitled to unemployment benefit, with some working in informal or insecure employment which negatively impacts on their eligibility in accessing unemployment benefit, and even if they do qualify. Unemployment benefit amounts to approximately €100 per month. For those who do engage in employment, the minimum wage provides only €330 per month (before tax), about €260 per month (after tax). Rising energy costs and utility prices also place an added burden for all low-income households in Hungary.

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