Spain plans to introduce a tax of up to 100% on properties bought by non-residents from countries outside the EU, such as the United Kingdom.
Announcing the move, Prime Minister Pedro Sánchez said the “unprecedented” measure was necessary to address the country’s housing emergency.
“The West faces a decisive challenge: Not to become a society divided into two classes, rich landowners and poor tenants,” he said.
Non-EU residents bought 27,000 properties in Spain in 2023, he told an economic forum in Madrid, “not to live in” but “to make money”.
“What, in the context of the shortage we are in, [we] obviously he can’t allow it,” he added.
The move was therefore designed to “prioritize[ise] that homes are available for residents,” he said.
Sánchez did not provide details on how the tax would work or a timeline for presenting it to parliament for approval, where it is often a struggle to muster enough votes to pass legislation.
But his government said the proposal would be finalized “after careful study”.
It is one of a dozen planned measures announced by the prime minister on Monday with the aim of improving the affordability of housing in the country.
Other measures announced include a tax exemption for landlords who provide affordable accommodation, the transfer of more than 3,000 homes to a new public housing authority and stricter regulation and higher taxes on tourist apartments.
“It’s not fair that those who have three, four or five short-term rental apartments pay less tax than hotels,” he said.
