The government continues to maintain the 2% cap on rent increases, keeping it in place until December 31 if the current inflationary context and the conditions that justified the measure persist.
Should these assumptions hold, the temporary restraint will remain in effect as the government reviews circumstances, a point underscored by Raquel Sánchez, the minister responsible for the Executive, Transport, Mobility and Urban Agenda, during a press conference after the Cabinet meeting.
The minister reiterated that the government is attentive to the present situation. In addition to limiting rent rises, other targeted actions have been taken to protect the most vulnerable households, reinforcing the broader social shield during challenging times.
Housing Act, before year end
The minister emphasized that the aim is to advance housing legislation and that progress is being made toward unveiling the bill before year’s end. Negotiations with multiple political groups continue, with ongoing exchanges to shape a comprehensive framework for housing policy.
She recalled that around 400 changes have already been negotiated and that additional measures have been included, such as safeguards for vulnerable groups and clearer guidance on urban competencies. The minister noted that substantial headway has been achieved, addressing a range of issues and practical concerns raised in the process.
Measures approved by the council
Looking ahead, the Council of Ministers plans to meet this Tuesday to approve a royal decree that introduces highly technical regulations to streamline the administration of the State Housing Plan 2022-2025. The decree also applies to earlier plans still in force and seeks to improve the management of urban rehabilitation and regeneration projects, including expedited assistance for eligible programs.
The decree also facilitates Sareb’s involvement in boosting the housing stock by regulating the allocation of 10 million euros assigned in addition to the State Housing Plan within the 2022 budget, distributed to regional authorities for the purchase of affordable rental homes.
Through this mechanism, the government expects Sareb to directly supply homes, with anticipated aid reaching full coverage in some cases, a substantial increase from the 60% previously covered. The plan aligns with ongoing efforts to expand affordable rental housing through streamlined processes and targeted subsidies.
Officials also highlighted continued momentum on an affordable rental housing construction program designed to grow the housing stock by more than 100,000 units. Of these, nearly 98,000 units are already under construction, with an additional 25,000 residences in various stages of planning and development. In parallel, authorities stress that these initiatives are part of a broader strategy to stabilize housing access and affordability across regions while maintaining fiscal responsibility. [Citations: Ministry reports, Council proceedings, and budgetary documents]