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Spain PM calls early election after housing bill defeat

Published : Monday, 5 October, 2026 at 5:54 PM
Observer Online Report
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Spanish Prime Minister Pedro Sánchez has called an early general election after his minority government suffered a defeat in parliament over a proposed bill to address the country’s housing crisis.

In a televised address on Monday, Sánchez said he needed a renewed mandate and broader support to continue his reform agenda. He said his main goal was to secure a stronger progressive majority in parliament.

The housing bill was rejected in a parliamentary vote last Friday. It proposed automatic renewal of rental contracts and stronger protections against evicting vulnerable tenants without notice.

The defeat came amid growing protests over soaring rents and house prices. Thousands of people demonstrated in Madrid and other major cities on Saturday, demanding affordable housing.

Spain’s housing crisis has worsened in recent years as rents and property prices have continued to rise. Real estate portal Idealista said average rents have nearly doubled over the past decade, while asking prices for homes have risen by around 90%.

Sánchez’s minority government has faced growing difficulties in passing legislation. The housing bill was blocked after Catalan separatist party Junts, which has supported the government from outside, voted against it.

-AJM


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