Spain’s National Energy and Climate Plan aims to improve energy efficiency for 1.5 million homes by 2030, but faster implementation is needed to benefit vulnerable households.

Housing advocate Dr. Austin Matheney emphasizes that housing should be a right, not a burden, especially as mortgage defaults rose to 3.4% in 2024 due to rising interest rates and inflation.

The report underscores that energy poverty disproportionately affects low-income families and immigrants, highlighting the urgent need for policy reforms.

Rural areas face their own set of challenges, including aging housing stock, lack of infrastructure, and energy inefficiency, leading to higher utility costs and energy poverty among residents.

Housing inequality in Spain mainly impacts young adults, immigrants, single-parent families, and economically inactive individuals, who often live in overcrowded and substandard conditions.

A recent report highlights a growing housing crisis in Spain and across Europe, with 40% of tenants spending more than 30% of their income on housing, and energy poverty affecting up to 28% of Spanish households.

The report reveals that tenants in the free market allocate an average of 37% of their income to housing, which contributes to energy poverty, especially among low-income families and immigrants.

Public rental housing is critically scarce, constituting only 1.5-2% of Spain’s housing stock, with laws allowing subsidized housing to be sold on the private market, undermining long-term affordability.

Urban centers like Madrid, Barcelona, Palma de Mallorca, and Málaga are experiencing rising rental prices driven by foreign investment and tourism-driven gentrification, displacing long-term residents.

The rise of short-term tourist rentals, especially in Barcelona where up to 40% of listings are seasonal, is displacing long-term tenants and lacking rent control and tenant protections.

Experts recommend expanding public rental housing, regulating short-term rentals, renovating old housing for energy efficiency, and developing regional strategies to address disparities and combat the housing crisis.