The Municipal Popular Group in the Castelló City Council has presented an institutional declaration urging the Spanish Government to modify its housing policies. The proposal includes reducing VAT on new first homes from 10% to 4% and extending mortgage guarantees to 40 years.
The Municipal Popular Group in the Castelló City Council has registered an institutional declaration to urge the Spanish Government to modify its housing policies with measures that expand supply, mobilise land, and facilitate the emancipation of young people. The initiative, as reported by castellonplaza.com, calls for reducing the VAT on new first homes from 10% to 4% and allowing the payment of this tax and property transfer tax to be staggered in line with mortgage payments.
The spokesperson for the municipal group, Sergio Toledo, has criticized the management of the central government: "After eight years, the Government of Pedro Sánchez cannot act as if it has just discovered the housing problem. Its response has been insufficient, and now it intends to take advantage of people's concerns with hastily prepared measures to gain political benefit."
"Behind this crisis are young people who cannot become independent and families who are dedicating an increasing portion of their income to having a roof over their heads. That reality demands responsible and ongoing management, not a reaction from the Government when social pressure increases."
The declaration also proposes repealing the Law on the Right to Housing and reforming the Land Law to expedite urbanisation processes, simplify and digitalise urban planning procedures and licensing, reduce administrative deadlines, and identify underutilised public land to prioritise it for affordable or social rental.
In the fiscal chapter, the document includes extending guarantees to 40 years, measures to promote savings, and a guarantee system for young people's rental deposits. "Saving for a home deposit is one of the main difficulties for those wanting to become independent. Reducing taxes and facilitating guarantees supports that effort and lowers the barriers to accessing a first home," Toledo stated.
The proposal also incorporates measures against illegal occupation and unoccupied properties, and calls for greater legal security for owners to encourage a stable rental supply. Toledo has demanded transparency regarding the government's commitments: "Sánchez must explain how many of the homes he has announced are finished and available. The balance of housing policy is measured by the keys that reach families, not by the headlines the president achieves."
At the municipal level, the Castelló government team has announced the promotion of the construction of 4,200 homes in the coming years, with 40% of public protected housing, through the development of seven residential sectors. "For us, facilitating access to housing is a priority, and we are working to provide solutions. This is the legislature of housing," the popular spokesperson stated.
The institutional declaration will be debated in the plenary session of the Castelló City Council, where the Municipal Popular Group will defend its processing to urge the central government to apply the proposed fiscal and urban measures.
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