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MADRID

Campaigning opens for Madrid’s regional election amid rise in Covid infections

With virus cases rising and its vaccination drive delayed, Madrid heads into an election campaign on Sunday, ahead of a vote likely to cement the right-wing's hold on Spain's wealthiest region.

Isabel Ayuso
Photo: OSCAR DEL POZO / AFP

If the latest polls are correct, the May 4th vote looks set to hand victory to the region’s right-wing leader Isabel Díaz Ayuso, whose Popular Party (PP) could end up governing with the support of the far-right Vox.

The vote could have important ramifications for Spain’s broader political scene, and particularly for the political future of some of the leaders involved, although analysts say it’s unlikely to have an immediate impact on the left-wing coalition of Socialist Prime Minister Pedro Sánchez.

Sunday marks the start of a two-week election campaign that ends on May 2nd, two days before the snap election which was called on March 10th by Ayuso after she abruptly broke off her coalition agreement with the centre-right Ciudadanos party.

At stake is the “jewel in the crown” – leadership of Spain’s richest region, with a population of 6.6 million, but which has suffered the most deaths and infections since the coronavirus epidemic began in March 2020.

Six parties are contesting the vote: the PP, the Socialists and the far-left Podemos – partners in Spain’s minority ruling coalition – Ciudadanos, Vox and the hard-left Mas Madrid, with surveys consistently
putting Ayuso in front.

Most polls suggest the 42-year-old will secure around 40 percent of the vote and a comfortable win, with a survey published on Friday, April 16th, giving her 56-57 deputies in the 136-seat regional assembly, while falling short of the 69 needed for an absolute majority.

READ ALSO: Meet the woman who has become the Spanish right’s sharpest critic of PM Sanchez

Seats are attributed on a proportional basis, but a party needs to get five percent of the ballots to have seats.

With Ciudadanos not assured of reaching this critical five percent threshold, the PP’s natural bedfellow would be Vox, which was seen securing 13-14 seats, with a tie-up likely securing them a majority.

“Polls suggest the right-wing bloc would get approximately 52-53 percent of the vote, but there could be last-minute shifts that could end up tipping the balance,” Pablo Simon, a political scientist at Madrid’s Carlos III University, told AFP.

“A very likely option is that the PP will govern alone (in a minority) with Vox’s parliamentary support, but without them holding public office.”

Spanish conservative People’s Party (PP) leader Pablo Casado and Madrid regional president Isabel Diaz Ayuso. Photo: OSCAR DEL POZO / AFP)

‘Communism or freedom’

The vote comes at a tricky time for Ayuso as infections keep rising in Madrid, which has a 14-day incidence rate of some 350 cases per 100,000 inhabitants, compared with a national average around 200, and accounts for 20 percent of Spain’s 76,900 deaths.

Known for her fierce opposition to Sánchez’ government, Ayuso called the election in an apparent bid to shore up political capital she has earned through resisting pressure to impose tighter virus restrictions on the local economy.

Just days after Ayuso’s election call, Podemos leader Pablo Iglesias dropped his own political bombshell, saying he would resign as deputy prime minister to run in the election.

From the start, Ayuso, who is seen as a rising star within the PP, has framed the May 4th polls as a choice “between Communism or freedom” and tried to give the election national overtones, helped by Sánchez’ personal involvement in the campaign and Iglesias’ decision to throw his hat into the ring.

“A very important unknown is voter turnout… which is likely to be high because the campaign is very polarised, but we’re also in a pandemic, which could change things,” Simon said.

All six candidates will make a direct appeal to voters during a live televised election debate on April 21st.

In the last poll, two years ago, the PP suffered its worst defeat in decades, although Ayuso was handed a lifeline when the Socialists, who won most of the votes, were unable to form a coalition.

Simon said the outcome was unlikely to impact on Sánchez’s coalition. “If the PP gets a really good result, it will rise in the polls and obviously… it won’t be in (Sánchez’s) interest to break up the government or call elections,” he said.

And with Spain’s economic recovery likely to be delayed until the year’s end or even early next year, the government would “try to hold out” until that was consolidated, which would give them “more of a chance to achieve a good result in an election.”

READ ALSO: Madrid’s divisive leader Ayuso quits and calls early regional election

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MADRID

Madrid to suspend holiday-let licences as rent prices spiral

Madrid City Hall has announced it will temporarily suspend the granting of new licences for so-called tourist apartments in a bid to rein in a ballooning industry that's impacting prices and stock of long-term rents in Spain's capital.

Madrid to suspend holiday-let licences as rent prices spiral

Madrid authorities also announced they will not authorise the transformation of commercial properties into tourist accommodation in the centre of the city and will increase the fines for tourist properties that do not comply with regulations.

Madrid, like many other cities in Spain, has been suffering from a rise in illegal tourist accommodation with thousands swiftly popping up across the capital.

One of the main obstacles for regulators is how difficult it is to find out exactly how many there are. Madrid authorities have counted 14,699 tourist establishments in the city, 92 percent of which are for tourist accommodation. But, only 941 of these have a municipal licence, meaning the rest are illegal.

READ ALSO: Why Madrid is struggling with its explosion of illegal holiday lets

According to the Inside Airbnb platform though, there are 25,543 tourist apartments listed in the city.

In order to combat the issue,  Madrid City Hall will increase the amount of fines for owning and running one of these illegal holiday lets.

They will set the first penalty at €30,000, the second at €60,000 and the third level at €100,000. Those committing serious infringements or who keep renting out their flats without licences, even after warnings, may have to pay up to €190,000.

Current fines are only €1,000 for the first infringement. If they still don’t comply, a second fine of €2,000 is issued, and if the situation persists, a third penalty of €3,000 will be given.

The number of inspectors to check on tourist rentals will also be increased by 15 percent, up to 75.

In order to help holidaymakers know whether or not an apartment they’re interested in is legal or not, the city will also publish a list of flats with licences and their location on an official website.

“People who want to stay will know if they are in a legal or illegal accommodation and the consequences that may arise because of this” explained Mayor José Luis Martínez-Almeida.

In early 2019, former mayor Manuela Carmena approved a special Accommodation Plan to regulate tourist accommodation in the city. The new rule established among other requirements that tourist apartments should have an independent entrance from the rest of the neighbours.

According to her calculations, this would affect 95 percent of holiday lets in the city, essentially rendering them illegal. The rule was appealed by the sector, but the courts ended up agreeing with the City Council in 2021.

These rules were found to be insufficient as many holiday lets have continued to operate in the capital without a licence, and in late 2023 Martínez-Almeida promised to create new ones. 

Initial approval of the new plan is scheduled for September 2024 and final approval is expected to be in the first half of 2025. 

READ ALSO: Who really owns all the Airbnb-style lets in Spain?

The problem is not only the number of tourist rentals, but the issues they cause for residents. The Inspection and Disciplinary Service received 51 percent more complaints in 2023 than in 2022 that involved homes and apartments for tourist use: 686 compared to 454. 82 percent of which came from citizens.  

Of the total inspections carried out (4,093), it was verified that 478 homes were dedicated to tourist use and 243 were for residential use.

Not everyone is in agreement with the new plan. The Regional Federation of Neighbours of Madrid (FRAMV) believes Almeida’s plan is not enough and that the regulations should apply to the entire municipality not just the central areas.  

The spokesperson for Más Madrid in the City Council, Rita Maestre, has also spoken out against the plan. Maestre believes that the vast majority of tourist apartments already operate freely without a licence, and that the new legislation will do little to change that.

For Exceltur, Spain’s main tourism and hotelier association, there is not enough inspection capacity anywhere in Spain to be able to control that legislation is complied with.

Spain’s Housing Minister Isabel Rodríguez recently called on the 17 regional governments to implement restrictions on short-term holiday lets in areas where rents for locals have spiked, as the national government continues to look for ways to address the country’s housing crisis.

“Wherever there is a greater concentration of apartments for tourists, there is also pressure in the property market ,” Rodríguez said.

Even Madrid’s populist regional president Isabel Díaz Ayuso, whose policies are usually in favour of “freedom” and liberalisation, has said that they “are studying how to regulate holiday accommodation so that higher prices do not expel neighbours”.

Average monthly rent prices in Madrid currently stand at €20.7 per square metre, after registering an increase of 18.2 percent over the last twelve months and 4.8 percent in a quarter-on-quarter rate.

“Vacation rentals are having an impact on the market, especially in the historic centres of cities,” Madrid’s general director of Housing and Rehabilitation of the Community María José Piccio-Marchetti Prado, told Business Insider Spain.

“In Madrid you see it around Puerta del Sol, Plaza Mayor… where there are many tourist homes”.

READ ALSO: Which cities in Spain have new restrictions on tourist rentals?

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