Thousands and tens of people took to the streets in Spain to defend against the housing crisis in Spain and protest for access to affordable housing. The Organisers of the demonstrations assert that an estimated 150,000 participated in the demonstration in Madrid, with smaller protests in around 40 cities throughout the country.
The protesters were seen chanting “End the housing racket” and “Landlords are guilty, the government is responsible,” The Guardian reported.
Calls for Rent Strikes and Structural Change in Spain
Valeria Racu, a Madrid tenants’ union spokesperson, called for rent strikes in several Catalan coastal towns. “This is the beginning of the end of the housing business,” Racu said. “The beginning of a better society, without landlordism and this parasitical system that devours our salaries and our resources,” he said.
Rising Costs and Widening Inequality in Spain
The federation contended that 1.4 million Spanish families pay over 30 per cent of their income on housing, 200,000 more households than 10 years ago. The housing crisis has become one of Spain’s big social challenges as a mix of property speculation and holiday apartments sent rents soaring.
Government reports indicate that as many as 15,000 illegal tourist apartments exist in Madrid, and that in Barcelona, the city government will not be renewing the current 10,000 tourist apartment licenses in 2028 when they fall due. A problem that had initially been concentrated in tourist-dominated areas has since spread nationwide.
Youth Face the Brunt of Soaring Prices in Spain
The youth of Spain were hardest hit since housing prices have skyrocketed while wages stagnate. In a study conducted by the Spanish Youth Council, a shortage of affordable housing resulted in last year 85 per cent of individuals younger than 30 still residing with their parents. The demonstrations in Barcelona called for a 50 per cent decrease in rent, permanent leases and a stop to real estate speculation.
Critics Highlight Systemic Economic Imbalance
“The housing game is rigged in favour of anyone with assets while tax incentives encourage them to acquire more and more property,” Jaime Palomera of the Barcelona Urban Research Institute and the author of El Secuestro de la Vivienda (The Kidnapping of Housing) told.
“The rich have got richer since the financial crash in 2008 and the Covid crisis and they have used this wealth to buy more and more property, constantly driving up prices and increasing inequality.”
“The fact is that property offers a better return than other investments. We have an economic model that encourages investment in assets that don’t create any value but simply use rent as a way of sucking money out of the middle classes,” Palomera furthered.
The writer proposed that the key to solving this crisis is taxing individuals who own more than one property. He further referenced examples of nations such as Singapore, where the government provides financial assistance to first-time buyers but charges an incremental tax regime for second and onward homes.