Catalan government and Comuns strike 2026 budget deal

The Catalan government has cleared the first hurdle toward passing a budget for 2026: securing an agreement with left-wing Comuns.

The breakthrough came after both sides reached a deal to amend Catalonia's Urban Planning Law, enabling a ban on speculative home purchases.

President Salvador Illa and Comuns' parliamentary leader, Jéssica Albiach, are due to sign the agreement at 11:00 am at the Palau de la Generalitat in Barcelona.

The deal still leaves the Socialist government 20 seats short of a majority. Attention now turns to pro-independence Esquerra Republicana (ERC) to see whether it will open formal budget negotiations and provide the votes required.

Property purchases

Under the agreement, changes to the Urban Planning Law will restrict so-called large property owners from acquiring homes in designated high-pressure housing areas.

The text, first reported by broadcaster SER Catalunya, allows other property owners to buy properties and rent them out, provided they comply with rent caps.

Exceptions for large property holders include purchases for personal use as a primary residence, as well as the acquisition of an entire building intended for long-term rental, as long as rent caps are respected.

It will also "exceptionally" allow the purchase of a "single second residence" in a municipality other than the owner's primary home.

In cases where a property is inherited, if it is not used as a residence by the owner or a first-degree relative, it must be placed on the long-term rental market in accordance with applicable rent control rules.

Rent support

On Wednesday, as part of the 2026 budget negotiations, the government and Comuns agreed to increase funding for rental subsidies by €106 million, a move expected to benefit nearly 50,000 additional families.

Under the agreement, first reported by Catalunya Ràdio and confirmed by the Catalan News Agency (ACN), the income threshold for eligibility will rise from €25,200 to €36,279 per year, prioritizing "families that spend more than 30% of household income on rent."