• Politics Pablo Iglesias starts renting Pedro Sánchez,
  • Government: This will affect the economic measures of the PSOE-UP pact

The limitation of rental prices was one of the star measures of the agreement that sealed the government alliance between PSOE and Unidos Podemos . However, less than two weeks after the constitution of the Executive, this measure has meant a new point of disagreement between the two partners of La Moncloa. And not a minor point, since it has been the third vice president and minister of Economic Affairs, Nadia Calviño, in charge of expressing her objections.

"There are different cities that are experimenting in that line, setting limits, not very successfully," Calviño said in an interview with Cadena Ser. Therefore, he explained, the Government will focus on increasing the supply of housing through the Plan of Housing prepared by the Ministry of Transportation, Mobility and Urban Agenda .

The answer goes beyond innocent appreciation. Limiting the rise in leases was one of the requirements that Pablo Iglesias' party put on the table to support Sánchez's investiture. It should be remembered that in the previous legislature, Podemos already voted against the housing and rental decree raised by Pedro Sánchez because in its final version it did not include this proposal.

On this occasion, the Socialist Party, which until then had not only been reluctant but contrary to this alternative, ended up incorporating it into the pact. Specifically, the document states that "the necessary regulatory measures will be promoted to put a ceiling on abusive increases in rental prices in certain areas of stressed markets" and that autonomous communities and municipalities will be enabled to carry out this limitation from the reference index prepared by the department of José Luis Ábalos .

Although many welcomed the proposal, especially from the field of purple training, the wording of the measure itself is ambiguous . PSOE and Unidos Podemos promised to put a stop to the abusive rises in rental prices, but it is the communities and the municipalities that are responsible for putting it into practice. If you want, of course. Because it is they who have the skills and some, such as the Community of Madrid, have already announced that they will not start it.

But now the reluctance comes from within the Sanchez Cabinet and one of its heavyweights. Nadia Calviño is the main endorsement of the economic orthodoxy that the president has presented to the European markets and authorities and his allusion to rent seems to make it clear who has the last word in terms of economics.

He already did it with the labor reform. While the Minister of Labor, Yolanda Díaz, has defended the complete repeal of the 2012 reform - even if it is in two phases -, Calviño is in favor of modifying only the aspects that she considers most harmful.

Opposite effects

As far as rent is concerned, as the minister indicated, other countries and cities such as Paris or Berlin have already implemented plans that in one way or another limit income increases, although the results for the moment have not demonstrated their effectiveness.

Within the real estate sector there are many who warn of the consequences of these plans, ranging from the promotion of a black housing market to the boomerang effect it produces on prices.

The last warning, however, has come from the Bank of Spain and occurred on Thursday. The regulator said in a document published that day that controlling rental prices can have "potentially significant adverse effects" , especially if the measure is prolonged, including reducing the number of homes in the market and cutting expenses of maintenance by the owners.

In addition, this policy "can create segmentation in the housing market by concentrating income control measures in certain groups or areas of a city," the document adds.

Paralyzed plan

Given these alerts, Calviño prefers that the Government's action in the area of ​​housing be channeled through the Housing Plan announced by the then Ministry of Development , which aims to raise 20,000 houses and incorporate them into the public rental park.

The plan, beyond the announcement, remains stagnant in its elaboration . Minister José Luis Ábalos advanced a part of its content last October; among other things, its Department is preparing the sheets to transfer public land for about 50 years to private capital in exchange for building floors to market them and manage them in an asequo way

Funds and promoters recognize THE WORLD that so far they have not known more details in this regard or have maintained more contacts with the Ministry to address this issue. They are in favor of the initiative and willing to participate in it, although they press to learn more about the terms in which the management and exploitation of real estate would be carried out.

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  • United We Can
  • PSOE
  • Nadia Calviño
  • living place
  • Rental

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