Spanish Government's Housing Law Fails to Pass Parliament

Emergency legislation designed to address Spain's deepening housing crisis has been rejected by the country's parliament, prompting further protests. The government's proposed decrees, aimed at controlling soaring rents and evictions, failed to secure enough votes in Congress on Friday.

The legislation was presented in two parts. The first decree proposed suspending evictions for vulnerable tenants until 2030, extending rental leases expiring before 2028 by two years, increasing taxes on tourist apartments, and restricting the purchase of residential properties by investment funds. The second decree sought to implement automatic renewals of rental contracts, a key demand from left-wing groups and the Tenant's Union.

Lawmakers voted against the first decree by 178 to 172, and against the second by 184 to 166. The conservative People's Party (PP) and the far-right Vox party had previously announced their opposition to both measures. The minority government had been reliant on the support of smaller nationalist parties from Catalonia and the Basque Country, but the pro-independence Together for Catalonia (JxCat) party signaled its opposition to both laws ahead of the parliamentary session, ensuring their failure.

The ruling coalition had rapidly drafted these decree laws in an attempt to quell growing public discontent over housing affordability. Protests were initially sparked by the eviction of an 87-year-old woman in September. Despite the company owning her flat negotiating her return on a reduced rent, public demonstrations have persisted. More than 50 protests are planned across Spain for Saturday following the parliamentary setback.