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Spain's ministry of consumer affairs has just opened an investigation into the large-scale tourist apartment management companies after already having launched an investigation a few months ago into the advertisements posted by those firms that were unlicenced for tourism. The ministry headed up by Pablo Bustinduy has instructed the Directorate-General for Consumer Affairs to conduct the investigation into companies that manage hundreds of tourist housing in different regions across the country and that "could be engaging in misleading practices and other potential infractions" of the consumer defence law, said the ministry.
With this move Bustinduy is once again turning the spotlight on possible irregular practices within the tourist accommodation business - as announced a few weeks ago by SUR in English regarding airline operators - following the investigation that the ministry opened in June into the advertisements published by some accommodation rental platforms that do not have a tourist licence.
If the ministry establishes that there are irregular practices, a sanctioning file would be opened and the corresponding fine would be applied depending on whether the infringements are minor or serious, with penalties of up to 100,000 euros or between four and six times the illicit profit being made.
The investigation is now focusing on the operations of those tourist apartments that, even though they have a licence, are being managed in an irregular manner according to the law by intermediary companies operating in different parts of Spain.
In October, the ministry also began investigating different real estate agencies that allegedly carried out abusive practices against tenants in the management of rentals. These practices include forcing tenants to pay a commission for rental management, or to sign temporary contracts without justifying the temporary nature of the contract, or to accept irregular clauses that diverge from the regulations.
"All these initiatives are part of the objective set by Pablo Bustinduy to tackle the housing crisis in Spain, an issue that, as he has stated publicly on several occasions, is one of the main problems facing our country," the ministry said.
"There are thousands of families living on the borderline in Spain because of housing, while a few get rich with business models that drive people out of their homes", said the minister a few months ago. He called for a halt to speculation in the housing sector and requested help from local councils and communities so that, within the scope of their abilities and resources, they take all necessary measures to tackle this problem.
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