Spain Battles Housing Crisis: Government Intervention and New EU Proposals

The situation in the European real estate market, particularly in Spain, became a central point of political debate in late February 2026. According to the latest European Parliament report, the Union is grappling with a deficit of up to 10 million homes. Spain, as one of the countries most affected by this problem, accounts for nearly 10% of the missing housing units in the entire Community. In response to mounting pressure, MEPs have proposed a simplification package that envisages a maximum of 60 days for bureaucratic procedures related to construction and the introduction of a super-reduced VAT rate on construction materials and services. In Spain itself, the central government is intensively seeking solutions that would allow the so-called social shield to be maintained. The lack of agreement with opposition parties, including the PP and the Catalan Junts, calls into question the fate of 70,000 people threatened with eviction. Meanwhile, in Barcelona, tenant movements have taken to the streets, protesting the expiration of the moratorium on evicting debtors from apartments. The city has become an arena for ideological clashes; councilors rejected the creation of a commission to investigate speculative purchases, which drew criticism from left-wing factions. At the same time, Elisenda Alamany, the newly proclaimed ERC candidate for mayor, announced a freeze on licenses for tourist shops, which is intended as a response to the gentrification of the metropolis. Since the 2008 financial crisis, Spain has been struggling with a deep imbalance in the real estate market, leading to mass evictions and the emergence of strong civic movements fighting for the right to housing.At the national level, the political narrative is being sharpened by disputes over sovereignty and the economy. Santiago Abascal, leader of the Vox party, announced a push for a nationwide referendum on the Mercosur agreement, trying to attract the rural electorate. Meanwhile, the socialists of the PSOE warn Junts against voting hand in hand with the right. In the background of these events, the Generalitat de Catalunya published data on the region's fiscal deficit vis-à-vis the state, estimating it at over 21 billion euros, which once again fuels the debate about fair resource distribution in Spain. „Vamos a exigir que se celebre un referéndum sobre el acuerdo con Mercosur para que los españoles puedan decidir su futuro.” (We are going to demand that a referendum be held on the agreement with Mercosur so that Spaniards can decide their future.) — Santiago AbascalProposed Changes to the EU Housing Market: Bureaucracy Time: No EU limits → Max 60 days; VAT Rate on Construction: Standard rates → Super-reduced; Housing Deficit: Growing lack of data → Diagnosed 10 million units

Perspektywy mediów: Liberal and pro-government media (e.g., El País) emphasize tenant protection and the need to maintain the social shield against evictions. Conservative media (e.g., La Razón) highlight the need to combat illegal squatting (okupación) and relax building regulations.