Spain is set to introduce a 100% tax on properties purchased by non-residents from countries outside the European Union, including the United Kingdom.
Prime Minister Pedro Sánchez announced the unprecedented move as part of a broader strategy 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 declared while unveiling the measure at an economic forum in Madrid.
Highlighting the situation’s urgency, Sánchez revealed that non-EU residents purchased 27,000 properties in Spain last year, often “not to live in” but “to make money from them.” He stressed, “Which, in the context of shortage that we are in, [we] obviously cannot allow.”
According to BBC, the proposed tax aims to ensure that available housing is prioritised for residents. However, Sánchez did not disclose specifics on how the tax would be implemented or when it would be presented to parliament. His government has committed to finalising the plan “after careful study.”
This initiative is one of several measures Sánchez announced to improve housing affordability. Other steps include offering tax exemptions to affordable housing landlords, transferring over 3,000 homes to a new public housing body, and increasing regulations and 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 argued.
ALSO READ TOP STORIES FROM NIGERIAN TRIBUNE
