Housing has become an issue around the world, both in emerging and developed countries. The affordability of housing is decreasing globally; however, the governance system can be harnessed as a tool to help to turn the situation around, the benefit being that it is in the hands of the local or national administration. The analysis of state of the art data, together with qualitative research based on the knowledge and experiences of experts, have been used to examine the case of Prague. The aim is to prove a direct link between the approvals processes for buildings and the governance system, including the decisions made by different levels of public administration in last two decades. The hypothesis, based on early outcomes, shows a strong relationship between governance systems (including administrative divisions) and the length and complexity of the building approvals process. The results of these analyses are the main outcomes of the article, while designing changes will be the subject of subsequent research. The article should help with the debate and open up the topic, which is, in our globalized and increasingly complex world, an issue for a growing number of societies. The question of balanced, inclusive and sustainable growth will be part of the research agenda.