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Sunday, Jun 08, 2025

Pedro Sánchez Urges National Dialogue on Housing Crisis at Leaders' Conference

Spanish Prime Minister calls for a state pact on housing as prices surge amid political tensions.
Spanish Prime Minister Pedro Sánchez has appealed to the 'sense of country' of the Popular Party (PP) to foster dialogue and reach a national agreement on housing at the XXVIII Conference of Presidents held in Barcelona's Palacio de Pedralbes.

Sánchez emphasized that the topic of housing is of primary importance as Spain experiences a significant rise in property prices—a 12.2% increase recorded in the first half of the year—impacting the population, particularly in major cities.

During his address, Sánchez indicated that the government would propose to the autonomous communities a state agreement on housing, aiming to triple public investment in housing to reach 7 billion euros over the next four years.

The plan includes establishing a public database for rental and sale prices of properties, as well as indefinitely safeguarding the classification of public housing.

Over the past 45 years, more than 2.4 million protected houses have been constructed by public administrations in Spain, yet most have been deregulated and sold in the free market at elevated prices or acquired by investment funds.

Sánchez reiterated that housing is a national policy issue and urged the PP to reconsider their rejection of the housing law approved by the coalition government.

His statements were made following a breakfast hosted by King Felipe VI with the conference participants, before which Sánchez and Catalan President Salvador Illa, who primarily spoke in Catalan, highlighted Spain's strong economic situation despite global uncertainties.

Sánchez acknowledged the difficult circumstances faced during the pandemic and recognized the importance of dialogue, understanding, and cooperation during that period, which he believes could lead to a constructive outcome at the conference.

However, expectations for reaching agreements on housing or other pressing matters—such as financing, healthcare, and education—are low due to heightened political tensions.

The agenda did not include several issues proposed by the PP, including migration control, railway investment, and judicial reforms, but the government ultimately agreed for these topics to be on the table for discussion.

The conference is symbolic, taking place in Barcelona and hosted by Illa, marking what the Executive calls 'a milestone in the full normalization of Catalonia' in the national conversation.

As the meeting commences, the political landscape remains fraught, with previous conferences failing to yield any agreements, and recent exchanges have further strained relations, complicating the possibility of consensus on the housing crisis and other extensive issues affecting the nation.
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