Spanish parliament rejects housing decrees amid ongoing protests

Spain's parliament on Friday rejected two decree laws put forward by the government in an attempt to address the country's escalating housing crisis.

The first decree would have suspended evictions of vulnerable tenants until 2030, extended by two years rental leases due to expire before 2028, raised taxes on tourist apartments, and restricted purchases of residential property by so-called "vulture funds". MPs voted it down 178 to 172.

The second decree, which would have introduced automatic renewal of rental contracts — a longstanding demand from left-wing parties and the Tenants' Union — was also rejected, by 184 votes to 166.

Minority government left without allies

The conservative People's Party (PP) and far-right Vox had already announced they would oppose both measures, meaning Prime Minister Pedro Sánchez's minority government needed support from smaller nationalist parties in Catalonia and the Basque Country. However, on the eve of the vote, the centre-right, pro-independence Together for Catalonia (JxCat) signalled it would oppose both decrees, effectively sealing their defeat.

Sánchez's ruling coalition had rushed to draft the legislation in response to housing protests that erupted after the eviction of 87-year-old Maricarmen Abascal in September. Public outcry over her case led Urbagestión, the company that owns her flat, to agree to let her return at a reduced rent. Despite this, protests over housing conditions have continued across the country.