Barcelona's costly gamble: a ban built on a bluff
Barcelona's mayor plans to ban all legal short-term rentals by 2028, but the city's own studies and international experience show the move will not solve the housing crisis and may harm tourism and the economy.
Mayor Jaume Collboni has placed the elimination of short-term rentals (STRs) at the center of his housing agenda, promising that removing them will return homes to residents. However, a study commissioned by the city council from the Barcelona Institute of Economics acknowledged that a full conversion to residential use may not occur—some homes could move to the seasonal rental market or remain vacant pending court rulings.
Barcelona currently has around 10,000 legal STRs (roughly 1% of total housing stock), a number that has been stable since a moratorium on new licenses was introduced in 2014. Despite this cap, rental prices have risen by up to 70%, indicating that STRs are not the primary driver of the crisis. New York's 2023 STR ban only made hotels more expensive without improving housing affordability.
The ban also threatens Barcelona's status as an event destination. The city simultaneously hosts festivals, congresses, and visits, with STRs providing up to 40% of accommodation capacity during peak events. Organizers of Mobile World Congress have already warned about difficulties in housing delegates. According to PwC projections, more than 40,000 jobs could be at risk.
European Commissioner for Energy and Housing Dan Jørgensen has stated that the EU does not support STR bans, considering them disproportionate. Families with children will be particularly affected by the reduced supply, as STRs often offer the most affordable and suitable accommodation for larger groups.
