Rent Freeze in Jeopardy: Government Delays Measure, Leaving Landlords in Uncertainty

On March 20th, the Council of Ministers nearly failed to convene due to internal disagreements over the rent freeze proposal spearheaded by Sumar. Yolanda Díaz, the second vice-president, led the initiative that aimed to include this measure in the urgent measures decree to mitigate the effects of the war. However, Pedro Sánchez, María Jesús Montero, and Carlos Cuerpo (then Minister of Economy) attempted to persuade their government partners, arguing that the proposal would doom the decree because of opposition from PP, Vox, and Junts, who had already announced their rejection in Congress.

The situation was further complicated by Sumar's need to demonstrate political relevance after recent electoral setbacks. Its ministers secretly plotted to boycott the Council meeting, using housing as a banner and giving prominence to Pablo Bustinduy, Minister of Social Rights, Consumer Affairs, and Agenda 2030, as the architect of the proposal.

To resolve the conflict, it was agreed to approve two separate decrees: one focused on measures to alleviate the rise in fuel prices, and another that included the rent freeze proposal. The first decree, with measures on fuels, was approved on March 26th with the support of the PSOE, its partners, and Junts, and the abstention of the PP. However, the rent decree, they knew, would be rejected.

The government's strategy was to postpone the validation of the rent decree until the end of April, creating false expectations for tenants and leaving landlords in a situation of uncertainty. This delay allowed Sumar to claim credit for the extension, while the central government disengaged from the consequences.

Currently, a decree (Royal Decree Law 8/2026) is in force that allows tenants with contracts expiring between March 20th and December 31st to request their landlords to freeze rents for two years. The problem is that the decree supporting this measure will likely be rejected in Congress.

This has created considerable chaos, with thousands of tenants sending burofax to their landlords requesting the extension, while the latter find themselves in a legal crossroads. Legal interpretations are diverse, and the government has shifted the pressure to landlords, many of whom are families who depend on rental income.

Minister Bustinduy has encouraged tenants to request the extension, criticizing large holders and investment funds. However, the government has been accused of evading its responsibilities, shifting the problem to landlords.

The government's actions are questioned, asking if Sánchez was aware of the situation and why several ministers are encouraging requests for extensions based on a decree that will be rejected. The situation reflects a policy of accomplished facts, where Sumar can take credit for the extension, while the central government appears not to have foreseen the consequences, with some ministers suggesting that landlords ignore the burofax.

The measure primarily harms small property owners, who represent over 80% of rental properties and who depend on that income to live decently. Now, many of them will be forced to invest in legal advice to be able to raise rental prices without fear of consequences.

This situation is consistent with the government's housing policy, which, instead of helping families struggling to pay rent, prohibits evictions, shifting the problem to property owners. The delay in the approval of the rent extension decree allows Sumar to gain political capital, while shifting responsibility to landlords, who must decide between accepting the conditions or risking being sued.