Spain is set to introduce a tax that could reach up to 100% on properties purchased by non-EU residents, including individuals from the United Kingdom.
Prime Minister Pedro Sánchez unveiled this unprecedented measure, emphasizing its necessity to address the country’s housing crisis.
“The West faces a decisive challenge: To not become a society divided into two classes, the rich landlords and poor tenants,” Sánchez remarked.
He highlighted that non-EU residents acquired 27,000 properties in Spain in 2023, but not for personal use—rather, “to make money from them.”
In the context of Spain’s housing shortage, this is deemed unsustainable. “Which, in the context of shortage that we are in, [we] obviously cannot allow,” he added. The proposed tax aims to ensure that homes are primarily available for residents.
Although Sánchez did not offer specifics on how the tax would operate or when it would be presented to parliament, where his government often struggles to secure enough support for legislation, he assured that the proposal would undergo thorough consideration.
This tax is part of a broader set of housing measures that Sánchez announced.
Other initiatives include a tax exemption for landlords offering affordable housing, the transfer of over 3,000 homes to a new public housing agency, and stricter regulations and higher taxes on short-term tourist rentals.
“It isn’t fair that those who have three, four or five apartments as short-term rentals pay less tax than hotels,” Sánchez stated.
