Both decrees to tackle housing affordability crisis shot down as critics say measures would tighten the housing market.
Spain’s government has lost key votes to ratify emergency measures aimed at tackling the nation’s housing affordability crisis, after protests intensified last month following the eviction of an 87-year-old woman.
The proposed measures, which comprised two separate decrees, were both shot down by the majority of the 350-seat lower house of parliament on Friday.
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The move is a heavy blow to Prime Minister Pedro Sanchez, whose government faces public pressure, including from the hundreds of protesters who had gathered outside parliament demanding help for renters.
The first decree was meant to stop evictions of vulnerable people, make real estate speculation harder, impose tighter restrictions on short-term leases and provide tax incentives to encourage renting and the construction of housing.
The second decree proposed making leases automatically renew when they are set to expire, essentially making them indefinite. A property owner would have to pay a tenant 12 months of rent to break the contract.
The right-wing Catalan separatist party Junts refused to back the housing decrees, saying they would ultimately tighten the housing market. The centre-right Popular Party and far-right Vox also voted against the measures.
Sanchez, who leads a coalition government composed of his Socialist Party and the far-left Sumar, appealed to lawmakers in the run-up to the vote to put aside political calculations and pressure.
“Think about ordinary people, about those who most need the protection of public institutions. Think about the millions of young people who cannot afford to move out of their parents’ homes. Think about the families living with the constant anxiety of ever-rising rents,” he said.
“Do the right thing, because I believe that if you do not, history will judge you sooner than you think, and far more harshly than you can imagine.”
Miriam Nogueras of Junts argued the decrees would only lead to owners removing their properties from the rental market, and thus driving up prices even further.
“These decrees still allow speculators to buy property and to evict people,” Nogueras said.
‘Your profits, our misery’
As the vote was under way, protesters marched on the parliament demanding help for renters.
The government decrees were intended to quell a public uproar following the televised eviction on September 23 of Maria del Carmen Abascal, known across Spain as Maricarmen, that set off protests and a camp-in that occupied Madrid’s Puerta del Sol square ever since.
Abascal was living in the property in Madrid’s central Retiro neighbourhood under a rent-capped lease contract signed by her father in the 1950s. The property was then bought by the real estate and investment firm Urbagestion in 2018.
Urbagestion sought to terminate Abascal’s contract and evict her after raising her rent from 500 euros ($572) to 2,650 euros ($3,010) – nearly double her pension of 1,350 euros ($1,533) a month – according to Spanish newspaper El Pais.
When the police carried out her eviction on their fourth attempt, hundreds of activists who had been protesting against her losing a home she had lived in her entire life were waiting outside. Abascal has since been offered a preliminary agreement that would allow her return to her home.
Protesters rallying at the chamber in downtown Madrid on Friday held up homemade signs with images of vultures on them, denouncing the real estate speculators they blame for driving up prices.
Some people gathered outside the assembly chanted “your profits, our misery” as lawmakers voted down the government’s decree.
The average rent in Spain has almost doubled in the past 10 years. The average price per square metre has risen from 8.20 euros (about $9.08 at the time) in 2016 to 15.1 euros ($17.15) this year, according to the real estate website Idealista.
