The release of Bermuda’s Affordable Housing Strategy 2025-2035 is an important and necessary step towards addressing one of the most pressing issues facing our country today. Housing affordability is no longer a challenge affecting only the most vulnerable among us. It is now impacting working Bermudians across multiple income levels and reshaping the future of our workforce, our families and our social stability.

The strategy appropriately acknowledges many of the pressures facing Bermuda, including rising housing costs, shrinking affordability, demographic shifts and growing strain on working households. Its focus on increasing housing supply, modernising regulations and exploring modular and alternative construction methods represents a meaningful starting point. However, while increasing supply is critical, supply alone will not resolve the issue if Bermuda does not also confront the widening disconnect between incomes and housing costs.

When a one-bedroom apartment can command rents of $4,500 per month in a country where the minimum wage is $17.13 per hour and where even the establishment of a formal living wage remains pending, it becomes difficult to argue that the market is functioning in a sustainable or equitable way. Likewise, homeownership is increasingly unattainable, with modest three-bedroom homes now often approaching the $1 million mark.

The impact extends far beyond housing itself. Rising costs affect workforce retention, family stability, mental wellbeing and economic mobility. Middle-class Bermudians, particularly those within the “sandwich generation”, are increasingly strained as they support children, ageing parents and rising living costs while attempting to maintain stable housing.

We must also consider what this means for younger Bermudians attempting to build independent lives. Through the work of Transitional Community Services, I have seen first-hand how housing instability affects young adult men navigating employment barriers, mental health challenges, family instability and community reintegration. Even when progress is made, the absence of stable and affordable housing can quickly undermine long-term independence and success.

As Bermuda moves from consultation to implementation, the national conversation must now focus more intentionally on solutions.

One area that warrants urgent exploration is the activation of vacant and underutilised housing stock already existing within Bermuda. While new construction remains important, bringing existing units back into circulation may provide a more immediate and cost-effective opportunity to relieve pressure within the market.

This could include targeted tax incentives for landlords who commit to long-term rental agreements at attainable rates, streamlined planning approvals for uninhabitable units and public-private partnerships that support the rehabilitation of dormant properties.

Equally important is the need to expand workforce and middle-income housing in practical terms. A growing segment of working Bermudians earn too much to qualify for traditional assistance, yet far too little to comfortably absorb today’s housing costs. Teachers, healthcare workers, tradespeople, young professionals and working families increasingly find themselves trapped within this gap.

Addressing this challenge will require innovative partnerships between government, developers, employers and financial institutions to create more attainable housing pathways.

Incentivising mixed-income developments and developing financing models that reduce barriers to home ownership could form part of a broader solution. For younger Bermudians in particular, greater consideration should be given to rent-to-own opportunities, shared equity models and starter-home initiatives that help working adults transition towards long-term stability.

Greater attention must also be given to housing cost sustainability and the long-term rental market. Bermuda may benefit from exploring a rental market transparency framework that establishes comparable pricing benchmarks based on objective factors such as location, size, condition and amenities.

We already see benchmarking used in other areas, including salary benchmarking, while property sales routinely rely upon comparable market values to help determine pricing. Similarly, greater transparency within the rental market could encourage fairer and more sustainable pricing practices, while still preserving market flexibility.

While not intended to function as rigid rent control, such a framework could improve market data, strengthen accountability and help discourage extreme pricing distortions within the long-term rental market.

Importantly, solutions will require shared responsibility. The Government has a critical role to play through policy reform, incentives, infrastructure planning and targeted support for vulnerable populations. However, it is neither realistic nor sustainable to expect government alone to continuously subsidise the widening gap between wages and housing costs.

Subsidised housing will likely always play an essential role in protecting vulnerable populations. However, Bermuda must also ensure that housing policy creates pathways towards greater independence and long-term stability rather than unintentionally fostering long-term dependence across generations. The broader goal should be a housing system that supports families not only in accessing housing but ultimately in sustaining it independently over time.

Housing policy must also be integrated with broader workforce, social, and economic planning. If we are serious about retaining talent, supporting families, reducing social vulnerability and strengthening community stability, affordable housing must be treated as essential national infrastructure rather than solely a social support issue.

This conversation may require difficult decisions and policy interventions that are not universally popular. However, the long-term social and economic cost of inaction will be far greater. Housing affordability cannot continue to outpace wage growth indefinitely without serious consequences for Bermuda’s social fabric and economic resilience.

Stable housing supports stable communities, healthier families, stronger workforce participation and greater public safety. Prevention will always cost less than crisis response.

As a country, we must ensure that Bermuda does not become a place where people can work but no longer afford to live. The long-term strength and sustainability of our island depends on it.

• Tiffanne Thomas, PhD, is the founder and former executive director of Transitional Community Services and sits on the TCS board as non-executive vice-chairwoman. TCS’s mission is: to provide young adults with highly individualised services in a safe and supportive manner that fosters an enhanced quality of life as demonstrated by increased independent living skills. TCS accepts referrals on an ongoing basis. To learn more, visit www.tcscharity.bm