The People’s Party (PP) has proposed repealing Spain’s housing law in its programme for the general election on 29th November 2026, a change that would end the application of rent limits in Catalonia, according to reporting by ARA.

For tenants and landlords in areas where the limits apply, the proposal would remove the state-law framework used to cap rents. It is an election pledge, not a change already in force, and would require the law to be repealed.

The programme, presented ahead of the election, includes up to 14 housing measures. The PP, led by Alberto Núñez Feijóo, also promises to build up to one million homes and reduce some taxes for first-time buyers.

Why repeal would affect Catalan rent limits

Spain’s housing law was approved in 2023 and has since been amended. According to ARA, the PP wants to repeal it in full and eliminate both designated areas under housing market pressure and the price indices used to apply rent limits.

The proposed repeal would also affect the Basque Country, Navarre, Asturias and Galicia, which apply the law, ARA reported. The PP argues that removing the controls would restore legal certainty for landlords and tenants. It says intervention and uncertainty have reduced the supply of rental homes.

ARA reported that Spain’s Constitutional Court has ruled twice that the Generalitat, Catalonia’s regional government, does not have the power to set rent limits on its own. The Catalan parliament had legislated on the issue before the state law was passed, but the national law provided the legal basis for the caps.

Homes, taxes and illegal occupation

To pursue its target of up to one million homes, the PP proposes a new land law, faster building permits and incentives for companies that meet national goals for making land available. It also wants information on publicly owned plots made available to developers and housing cooperatives.

The programme includes measures for young people seeking a first home:

  • Cutting VAT on a first-home purchase from 10% to 4% for buyers under 40.
  • Allowing the tax to be paid in instalments alongside mortgage payments.
  • Reducing property transfer tax for young first-time buyers and allowing it to be paid in instalments, without specifying the size of the reduction.

On illegal occupation, the PP proposes evictions within 48 hours by court order and a change to the law governing shared-property ownership so that owners’ associations can ask a judge for an eviction.

ARA reported that existing law already permits eviction without a prior court order in some cases where a recent illegal entry is reported immediately and can be proven. The PP also says owners should not have to pay utility bills or property taxes during an occupation, a possibility that ARA said has already been recognised in case law.

Sources: Ara, es.ibtimes.com, Público.