Spain Approves Emergency Housing Decrees Following Nationwide Protests Over Evictions

Coalition reaches agreement on two decrees

Following overnight negotiations that concluded at approximately 10:50 on Tuesday, the Spanish coalition partners, the Spanish Socialist Workers' Party (PSOE) and Sumar, agreed on a package of housing measures. The disagreement between the governing parties delayed the Council of Ministers meeting by one hour and 50 minutes before ministers convened. The government divided the measures into two distinct decrees to assist parliamentary handling, as Prime Minister Pedro Sánchez does not command an absolute majority in Congress. One decree contains measures deemed to have wider legislative feasibility, while the second introduces deeper regulations including indefinite lease renewals. Ministers asked parliament to convene an extraordinary plenary session on Friday to vote separately on ratifying both decrees so they remain in force beyond 30 days.

Magnificent agreement. Today is a great day for tenants and small landlords. And bad for speculators.

Policy measures and rental protections

The approved legislation establishes a suspension of evictions for non-payment for vulnerable tenants without alternative accommodation until 2030, a date pushed back from the PSOE's initial proposal of 2028. It also imposes an automatic two-year extension on existing rental contracts expiring before 31 December 2028 and prohibits residential property acquisitions by speculative investment funds through late 2028. Sumar secured the inclusion of specific regulations governing room rentals and seasonal tourist leases alongside traditional tenancies. The government plans to use the second decree to establish indefinite lease renewals, mirroring standard employment contracts.

The Maricarmen eviction and street mobilization

Public pressure intensified across Spain following the eviction of 87-year-old Maricarmen Abascal, who was removed by police and firefighters from the central Madrid flat where she had lived since 1956. The Sindicato de Inquilinas e Inquilinos reported that 50 demonstrations occurred across Spain over the following week, with protest encampments spreading to roughly ten cities, including Seville, Málaga, Palma de Mallorca, and Santiago de Compostela. On Saturday, demonstrators set up nearly 400 tents in Madrid's Puerta del Sol, where attendance figures varied widely between organizers and police. Following a four-hour negotiation mediated by the Madrid Municipal Housing Company on Monday, investment fund Urbagestión agreed to an eight-year contract allowing Abascal to return to her apartment with rent capped at 30% of her net income.

But they ignited a flame that will no longer stop.

Political friction over Madrid encampment

Despite the agreement reached for Abascal, housing advocacy groups kept the encampment in Puerta del Sol active, demanding structural reforms across the national housing market. The regional government of Madrid, led by the conservative People's Party (PP), issued a 48-hour ultimatum on Tuesday for the national government to dismantle the camp, warning of legal action if the square remains occupied. Madrid Mayor José Luis Martínez-Almeida stated that the gathering violates municipal regulations and must be cleared by law enforcement. In contrast, central government delegate Francisco Martín described the demonstration as peaceful and defended police actions focused on public safety. In parliament, Junts spokesperson Miriam Nogueras objected to the coalition's negotiations, stating that the proposal leaves small property owners unprotected.