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Junta to allocate 800 million euros to improve access to housing in Andalucía
Housing crisis

Junta to allocate 800 million euros to improve access to housing in Andalucía

The president of the regional government is confident that the property law expected to be passed in 2025 will provide an answer to the housing crisis in the region

Friday, 25 October 2024, 15:45

The Junta de Andalucía will include in its budget for next year a total of 800 million euros to try to improve access to housing, especially for the youngest age groups of the population. This was announced on Wednesday by Junta president Juanma Moreno, who acknowledged that the difficulties in accessing housing is a real problem affecting the whole of Spain.

Moreno, who spoke in Seville at the closing session of a forum organised by La Vanguardia, gave assurances that this situation will have a prominent role in the Junta's accounts for 2025, whose draft will be approved by the governing council (regional cabinet) next Tuesday, and expressed his confidence that the lack of land and the shortage of supply, which in his opinion are at the root of the problem, will find a solution in the new Housing Law that his government plans to approve before the end of the current legislature.

The 800 million euros that Moreno alluded to in his speech correspond to the tax incentives already announced, which involve reductions for young people and other vulnerable groups (for example, female victims of abuse and victims of terrorism) worth some 300 million euros, and the rest to the Junta's housing policies for the coming year.

Lack of land and guarantees

Moreno attributed the great difficulties in accessing housing to two essential issues, the lack of land and the shortage of supply resulting from this and other circumstances.

On the first, he pointed out that bureaucracy, tax pressures, lack of pragmatism and poor management have contributed to the increase in the cost of what he considers to be the raw material of housing. He also pointed out that the new law, whose draft has already been approved by Andalucía's governing council and which the regional parliament will begin to process in the first months of next year, will respond to all of this.

The law also aims to contribute to solving what the Junta president considers to be another of the causes of the lack of supply for renting, the lack of guarantees that make owners shy away from putting their homes on the market.

The Andalusian government has presented its housing law as an antidote to the harmful effects that it believes the state regulation has had. For the Junta the main effect of the interventionism on the housing market proposed by the 2024 law approved by central government has been the withdrawal from the market of a large part of the rental stock, which it considers to have become a determining factor in the soaring prices in this region.

Flexibility

Another of the criteria proposed in the new regional law is the flexibility of already developed land to promote the construction of subsidised housing, especially in areas where there is unused land. Therefore, land reserved for developing something can be used for this purpose, except for those destined for health or educational facilities .

It is also planned to submit residential projects to the Project Accelerator Unit created by the Junta as well as the creation of a land exchange to catalogue the available land and the inventory of all public housing in Andalucía.

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