War on British holiday homes with Greece, France and Portugal 'set to follow Spain'

Several EU countries are said to be set to follow Spain’s lead and impose taxes on foreign buyers
-Credit:Daily Mirror


Measures to tackle a housing crisis in several European tourist hotspots could be hit Brits' holiday home plans, according to reports.

This week Spain’s Prime Minister Pedro Sanchez made the shock announcement that his country would begin to heavily tax foreign buyers looking to buy homes abroad. This plan was one of 12 outlined to tackle a housing affordability crisis and high rents, reports The Express.

The aim is to provide “more housing, better regulation and greater aid,” said the Prime Minister. Spain is one of several countries facing sky-rocketing rents in its major cities, such as Madrid, Barcelona and Malaga.

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Foreign buyers, including British, have snapped up properties for short-term holiday lets, which is said to contribute to raising prices and unaffordable homes for locals. Incomes are also failing to keep up with rents, which is hitting young people hard.

Other countries such as Greece, France and Portugal are suffering similar housing problems and may soon also resort to implementing taxes in a bid to tackle the crisis, adds The Express. Last year over-tourism protests in Spain - which during 2024 had more than 88.5m visitors - saw locals take to the streets in frustration at being unable to afford to live in their own cities.

The list of proposed policies announced by Prime Minister Sanchez aims to ensure affordable rents and offer incentives to those who follow renting guidelines. This includes a tax of up to 100% on properties bought by non-EU residents, including Brits.

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He claimed that in 2023, non-residents from outside of the EU bought 27,000 houses and flats in Spain “not to live in them, but mainly to speculate”. This was “something that, in the context of the shortages we are experiencing, we cannot afford,” he added.

Other European leaders are also responding to anger from locals, with Portugal seeing issues over problems of affordable housing and sustainable tourism practices. Short-term holiday rentals along with a shortage of affordable housing have provoked residents to take to the streets with banners reading the likes of “I have to choose between paying for a house or eating”.

As previously reported, there have been anti-tourism protests in Greece too, with slogans scrawled on the walls of the capital reading “Tourists Go Home! Greek State Kills” and “Tourists Enjoy Your Stay In The Cemetery of Europe”. Due to the pressure, a ban on short-term rental licences followed in three of Athens’ central districts.

From April to October, the daily tax on short-term rentals is also set to rise from 1.50 euros (£1.26) to eight euros (£6.75). France too has acted over housing frustrations, passing a long-awaited bill to tighten regulations on short-term tourist rentals which between 2016 and 2024 increased from 300,000 to 1.2m.