🏛️📉 Government cuts housing investment by 30% amid crisis

Oneliner

The Spanish government has cut housing investment by 30%, worsening a crisis marked by a shortfall of 700,000 homes. In 2024, only one-third of the allocated €4.173 billion was spent, raising concerns about the government's commitment to addressing the housing emergency. Public housing expenditure is just 0.2% of GDP, significantly below the European average. Future plans include a €7 billion investment over five years, but doubts remain about execution and effectiveness.

Key points

• Spain's government reduced housing investment by 30%, exacerbating a national housing crisis.
• The country faces a shortfall of approximately 700,000 homes, with only a third of allocated funds spent in 2024.
• Public housing expenditure remains significantly below the European average, at just 0.2% of GDP.
• Future plans include a new housing strategy with a budget of €7 billion over five years, but concerns about execution persist.

Links

• 20minutos: Las tres Españas de la vivienda
• ABC: El Gobierno reduce un 30% la inversión para facilitar el acceso a la vivienda en plena crisis habitacional
• El Mundo: Mutuactivos lanza un fondo para comprar vivienda a mayores de 65 años y que puedan seguir residiendo en ella

Facts

• Spain faces a housing shortfall of approximately 700,000 homes.
• Only €1.364 billion of the €4.173 billion allocated for housing was spent in 2024.
• Public housing expenditure in Spain is just 0.2% of GDP, compared to the EU average of 0.7%.
• The new Plan Estatal de Vivienda aims to mobilize €7 billion over the next five years.

Quotes

• The government has characterized the housing situation as a social emergency.
• Two out of every three euros earmarked for housing went unspent.

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