CYPRUS

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					                                            CYPRUS


1.       CURRENT SITUATION
Homelessness is not experienced in Cyprus in the conventional understanding of the
phenomenon. Rough sleeping is not observed, and presence of a traditionally strong family
support culture minimises the risk of homelessness in most cases. People from certain social
backgrounds and specific vulnerable groups (such as large families, low-income families,
people with disabilities, immigrants, victims of trafficking and sexual exploitation) are,
however, prone to a risk of housing exclusion, which is addressed to some extent through an
array of housing support schemes provided by the Government.
Overall share of the population with excessive housing cost burden (cost exceeding 40% of
household income) is observed at 1.9% which is by far the lowest figure among EU27
countries. This in part relates to high levels of home ownership among the Cypriot
population.1 When data is segregated by tenure status, it is seen that the percentage of people
facing excessive housing cost burden increases to 12% for those who reside in rental
accommodation, while only 0.2% of 'home owners' and 1.5% of 'home owners with mortgage'
face a similar burden. Although those residing in rental accommodation face a relatively
higher burden than home owners, the figures are still largely favourable in comparison to the
rest of EU27. 2 Cyprus also has the lowest overcrowding rate among EU27 with 1.5%.
When data is segregated by risk of poverty, it is seen that excessive housing cost burden
stands at 8% (38.1% for EU27) and the overcrowding rate increases to 4% (26.8% for EU27).
These are still some of the lowest figures in Europe. Considering that Cyprus has been facing
a challenge due to high rates of poverty risk especially among the elderly population, it is of
importance that the HHE indicators signal a positive situation. Figures imply that a large
proportion of people under risk of poverty are not exposed to further risks due to housing-
related problems.
Available indicators do not segregate data by nationality, country of birth, or residency status.
As such, it is difficult to assess whether the immigrant population is facing a relatively higher
risk of housing exclusion due to their vulnerable status in the labour market. As indicated in
LFS and national labour statistics of Cyprus, there is an increasing number of foreign-born
participants in the labour market, and currently around 18% of the known labour force is
foreign-born. Most of these workers are employed in relatively low-paid sectors (private
households, hotels and restaurants, construction) and unlike the local population, they may not
always have a strong family network to depend on for support. With unemployment expected
to increase to 6% in 2010 due to economic slow-down especially in tourism and construction
sectors, the risk of housing exclusion and possible problems of availability, accessibility, and
quality of housing faced by immigrants needs to be monitored more carefully.

2.       OVERALL POLICY FRAMEWORK AND GOVERNANCE
Housing policies of the Cypriot Government focus on strengthening access to adequate
housing, especially for certain risk groups. Large families, low-income families, people with
disabilities, persons residing in rural areas, the Roma, and people displaced following the

1
       68% of all homes are owner-occupied according to the 2001 Population Census of Cyprus. 14% is
       under rent, 6% is vacant. The rest is mostly composed of certain housing schemes provided by the
       Government.
2
       Respective figures for excessive housing cost burden for EU27 is 25.4% for tenants, 6.7% for home
       owners, and 8.6% for home owners with mortgage.
Turkish military operations in 1974 are in the centre of Government policy. Division of
building plots, provision of special grants and loans for purchasing or building homes,
provision of grants for home repairs, subsidisation of rents are some of the available support
measures for different risk groups. While the Ministry of Interior is responsible for housing
policy, Social Welfare Services (SWS) of the Ministry of Labour also get involved in the
provision of certain housing support benefits (such as rent allowance for recipients of public
assistance).
2009 annual budget for housing policies implemented by the Ministry of Interior amounts to
around €170 Mio. Majority of the budget is devoted to various housing schemes operating in
big cities, and other support schemes in the form of subsidies, loans, and grants provided for
construction, maintenance and repairs. Two housing projects for the Roma are also included
within this budget.
It needs to be noted that the changing demographic structure of the society, partly due to
increased migration, may lead to the emergence of new risk groups, other than those already
addressed by Government policy. In this regard, development of a uniform risk identification
framework in the area of HHE could prove valuable in strengthening the continuity of the
Government's success in ensuring access to adequate housing.

3.      ACCESSIBILITY AND QUALITY OF HOUSING

3.1.    Accessibility
Access to adequate housing is not a problem for a majority of the population, mainly due to
high levels of home ownership. There are also no major problems regarding accessibility of
rental housing. Rent Control Law of 1983 establishes rent-controlled areas where the market
price of rental housing is kept under control according to limits established by two-yearly
Council of Ministers Ordinances. The Law also prohibits eviction of tenants unless ordered by
the Rent Control Court. Recipients of public assistance can qualify for a special rent
allowance under the Public Assistance and Services Law of 2006. Low-income households
can qualify for grants and low-interest loans as assistance towards purchase of a home. Large
families and people with disabilities are also eligible for a variety of grants and loans under
the Unified Housing Scheme of the Government.
3.2.    Quality
When housing deprivation indicators are taken into consideration, it is seen that Cyprus ha s
largely favourable housing quality standards in comparison to the rest of EU27. It is only with
regards to leaking roofs that Cyprus experiences a deprivation proportion of 30.1% which is
the second highest value among all Member States. This is indeed a very surprising result,
considering the overall positive performance maintained in other HHE indicators, and may be
attributed to how the respondents perceived the relevant question of the EU-SILC
questionnaire3. Certain home repair benefits are available to low income households, and the
consumer price index for household equipment and supplies has seen little inflation over the
past few years.


3
       Specifically, the instructions for the relevant question from 2005 to 2007 were: “Whether, in the
       judgement of the household respondent, the dwelling has a problem with a leaking roof, damp
       ceilings, dampness in the walls, floors or foundation or rot in window frames and doors”. From 2008
       onwards, the instructions were modified with a view to getting an objective measure of the condition
       of the dwelling. The modification of the instructions started to have an impact on the result, which
       decreased to 26% in 2008. Although it is still high, more objective results are expected to be recorded
       from 2009 onwards.
As to the quality of housing available to immigrants, more indicative data is needed to
conclude whether the overall favourable housing quality situation is maintained within this
social group as well.

4.       HOMELESSNESS AND ACCESS TO SERVICES
In the absence of rough sleeping and severe forms of housing exclusion, Cyprus does not
operate emergency reception centres or special housing services for the homeless. Various
temporary accommodation services are, however, available in specific cases. Association for
the Support of Prisoners is known to provide a certain degree of assistance to those recently
released from prisons in finding accommodation. People who have been under the care of the
Social Welfare Services are eligible for different forms of further assistance after they cease
to be under SWS care. A reception centre provides a degree of temporary accommodation for
asylum seekers until alternative accommodation is found. The 2008-2010 National Strategy
Report on Social Protection and Social Inclusion for Cyprus also reports that a State Shelter
was opened in 2007 for victims of sexual exploitation. It could be of great value if a uniform
monitoring and evaluation framework could be devised to establish standards, and assess the
extent to which all these separate services function purposefully, effectively, and provide the
persons in need with adequate protection they require.

5.       MONITORING AND E VALUATION
As Cyprus has not traditionally experienced homelessness and severe housing exclusion, there
are no national or regional regular reporting structures in practice. There is also no evaluation
or study carried out regarding the policies addressed to homelessness and housing exclusion.
In the case of homelessness, this is understandable as severe forms of housing exclusion, such
as rough sleeping, are not relevant to the Cypriot context. However, considering the changing
demographic composition of the Cypriot population – which impacts upon the traditional
reliance on family support structures in society – monitoring and evaluation instruments may
need to be developed to pre-empt possible problems of housing exclusion before they begin to
occur, especially among vulnerable social groups.