Andorra la Vella Allocates €150,000 for Housing Grants Ahead of Rental Contract Thaw

**Andorra la Vella allocates €150,000 for housing grants ahead of rental contract thaw**

Parish councillor for Digital Transformation, Sustainability and Housing Marc Torrent anticipates a sharp rise in demand for local housing assistance as frozen rental contracts approach their end date. Speaking to the Andorran News Agency, he highlighted widespread resident fears over the new thaw regulations, including uncertainty about their rollout, effective date and personal impact.

To prepare, Andorra la Vella has budgeted €150,000 for housing aid this year—a sum Torrent described as ambitious to provide tools for families facing potential financial strain. He explained that allocating a large amount upfront allows flexibility to reduce it if unneeded, rather than seeking repeated expansions, and said officials would reassess if funds run low.

These grants complement national programs from the government, requiring applicants to first apply for state aid and receive a negative decision. Torrent emphasized the parish's duty to step in where national policies fall short, ensuring residents maintain their quality of life. He noted that major government housing initiatives only emerged after 2023 protests, underscoring the need for local action.

In 2025, the parish approved 18 applications, disbursing €10,245.92 for needs such as rental arrears, one-off deposits, overdue payments or basic appliances like washing machines. Early 2026 already shows seven approvals, outpacing last year's start and signaling accelerating pressure. Torrent cited cases where families must choose between rent and appliance repairs, with grants helping preserve household dignity.

He warned that rising grant usage reflects worsening conditions: families prioritise rent but sacrifice essentials, and more aid signals broader social deterioration with no relief expected this year or next.

Separately, winners of the affordable rental units in Block 2 at Ribasol Ski-Park in Arinsal qualify for National Housing Institute subsidies if rent exceeds 30% of income. The scheme features income-linked pricing, keeping costs at least 25% below market rates as part of national efforts to improve access through regulation and support.