The mayor of Malaga, Francisco de la Torre, is championing a new tax targeting overnight stays in tourist accommodation, specifically short-term rentals, to address the pressing issue of affordable housing in the city.
Purpose of the Proposed Tax
De la Torre’s vision for this tax is rooted in two primary goals:
- Subsidising Rent for Struggling Families
The revenue generated would be allocated to families facing difficulties in accessing affordable housing. Rising rents have created barriers for many residents, and this initiative seeks to alleviate their burden. - Mitigating the Impact of Tourism on Long-Term Rentals
Short-term rentals have contributed to a significant decrease in the availability of long-term housing. By addressing this imbalance, the tax aims to reduce upward pressure on rental prices.
Who Will Be Affected?
The tax is designed to target overnight stays in tourist apartments and homes, sparing hotels for now. Notably, the cost would fall on tourists, not property owners. De la Torre believes this model is both fair and sustainable, as tourists can easily absorb a small per-night fee.
The Case for the Tax
Tourist accommodations, while vital for meeting the growing demand for tourism, have created ripple effects in the local rental market:
- Shrinking Housing Supply: Many properties that could serve as long-term rentals are being converted into short-term accommodations. This reduces availability for local residents.
- Rising Rents: With fewer long-term rental options and increasing demand, prices have surged, leaving many families struggling to keep up.
De la Torre argues that a small tax on tourist stays could generate significant revenue, enabling the city to fund rental subsidies and other measures to support affected families. As he puts it: “It’s a very beautiful way to help solve the rental problem.”
Engaging Stakeholders
To advance this initiative, the mayor is actively engaging with key stakeholders:
- Letter to National Leaders: De la Torre has reached out to the President of the Government, Pedro Sánchez, requesting a legislative framework to enable municipalities to levy such a tax.
- Dialogue with Industry Representatives: He has consulted with the Association of Professionals of Tourist Homes and Apartments of Andalusia, emphasising the shared responsibility of mitigating the negative impacts of tourism.
While acknowledging the positive role tourist accommodations play in boosting the local economy, De la Torre highlights the necessity of addressing their unintended consequences.
Implementation Plan
De la Torre envisions a carefully designed tax that:
- Requires Legislative Change: A nationwide framework is necessary to allow municipalities to impose the tax, ensuring flexibility for cities facing different challenges. As the mayor explains:“There are municipalities that do not have this problem and would not have to levy this tax.”
- Is Earmarked for Housing Support: All proceeds would go directly toward assisting families struggling with rent payments.
- Is Preceded by Data Analysis and Consultation: Before taking drastic measures like banning new tourist accommodations, De la Torre is calling for further analysis and discussions to understand the problem fully.
Looking Ahead
The mayor’s next steps include:
- Continuing Stakeholder Engagement: Maintaining open communication with tourism professionals, government ministries, and community groups.
- Gathering Data: Conducting in-depth research on the housing market to measure the impact of short-term rentals and identify areas of greatest need.
- Lobbying for Legislative Action: Pushing for national-level policy changes to empower municipalities to implement targeted solutions.
“If it is possible, why don’t we put it in place? The tourist is going to pay it, not the owner, and the tourist will understand perfectly. It is going to generate resources to alleviate, mitigate the problem generated by the existence of tourist apartments,” said De la Torre.
