Spain's Housing Crisis: Government Faces Pressure Amid Rising Rents and Tourists

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The ongoing housing crisis in Spain is intensifying as cities grapple with surging rents and the proliferation of tourist flats. Barcelona's Ciutat Vella, once a vibrant local neighborhood, has transformed into a tourist hotspot, leading to the eviction of residents and the closure of traditional businesses. Recent statistics reveal that rents have increased by 80% over the past decade, with nearly half of Spanish tenants spending 40% of their income on housing costs, significantly higher than the EU average of 27%.

Prime Minister Pedro Sánchez has labeled the situation a "housing emergency" and proposed a comprehensive 12-point plan to address the crisis. This includes a call for increased social housing, which currently makes up only 2.5% of Spain's housing stock, in stark contrast to 14% in France and 34% in the Netherlands. Sánchez's proposals also feature capping excessive rental prices and transferring land for the development of affordable housing.

One of the more controversial proposals is a potential tax of up to 100% on properties purchased by non-EU residents, aimed at curbing speculation. This move has sparked criticism, with opponents claiming it targets UK buyers of holiday homes. While some politicians have embraced the initiatives, others label them insufficient and lacking in immediacy to meet the urgent needs of the population.

As demands for affordable housing escalate, the divide between socio-economic classes grows more pronounced. Many experts warn that if measures are not enacted swiftly, Spain risks creating a society divided between property owners and tenants struggling to afford basic living conditions.

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