Spain’s Congress of Deputies has rejected two emergency housing decrees proposed by the government, bringing an end to measures that included a 2% cap on rent rises, VAT on tourist rentals and new protections for tenants.
The vote took place today, 2 October 2026, after the two decrees were published in the Official State Gazette on 30 September and 1 October. Both had been introduced through urgent procedures and were debated separately.
The first housing decree, Real Decreto-ley 26/2026, was rejected by 178 votes to 172.
- PP, Vox, Junts and UPN voted against it
- PSOE, Sumar, PNV, ERC, Bildu and the Mixed Group voted in favour
The decree included a proposed two-year extraordinary extension for some rental contracts ending before 31 December 2028, provided tenants were up to date with payments.
It also sought to suspend evictions of vulnerable people without alternative housing until 31 December 2030.
Other proposed measures that now fall include:
- A 2% maximum annual increase for existing rental contracts until 31 December 2027.
- A 10% VAT charge on tourist rentals, which had previously been VAT-exempt according to the source.
- New rules intended to bring seasonal and room rentals.
- Tax incentives for landlords who reduce rents outside designated stressed-market areas.
- The possibility for councils to impose higher IBI surcharges on tourist flats and long-term empty homes.
- The TU CASA first-home buyer scheme, offering state-backed 0% financing of up to 20% of a property’s value, capped at €50,000.
Indefinite-style rental contracts also rejected
Real Decreto-ley 27/2026 was defeated more decisively, by 184 votes to 166.
PP, Vox, PNV, Junts, Coalición Canaria and UPN voted against it.
The measure would have required landlords to compensate tenants if they did not renew a rental contract without justified cause. The proposed compensation was equivalent to 12 months’ rent.
Under the proposal, landlords would have needed a justified reason not to renew for a further five years when the landlord was an individual, or seven years when it was a legal entity. A landlord’s own housing need, or that of a family member, was cited as an example of justified cause.
Landlords would also have had to give tenants at least six months’ notice of non-renewal, while tenants would have needed to give two months’ notice.
The rejection of both decrees means these proposed housing measures no longer have legal effect.
Original Spanish article published on idealista.com/news today at 15.51
