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Andorra Unions Escalate Protests Against Rent Reform Doubling Prices

USdA and SHA demand income-based caps, public housing expansion, and government resignation after CES review, projecting 94% hikes that could consume most of minimum wages and pensions. Landlords seek faster deregulation while the government defends tenant protections and balanced transition.

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Diari d'AndorraAltaveuEl Periòdic+2

Key Points

  • Unions predict 80m² apartment rent rising from €440 to €856/month (94%) in 3 years, unaffordable for low earners.
  • Demand 30-35% income caps, IPC-only pension increases, public housing expansion.
  • Landlords call for immediate deregulation, tax incentives amid maintenance costs.
  • Government plans June approval, 150 new public units, tenant protections like 6-month notice.

Unió Sindical d'Andorra (USdA) and Sindicat de l'Habitatge d'Andorra (SHA) have escalated their opposition to the government's draft rent reform following its review at the Consell Econòmic i Social (CES) this week, announcing coordinated protests, signature campaigns, and calls for the government's resignation and early elections. They warn the plan risks doubling some rents within three years, displacing workers, youth, and pensioners by 2027.

USdA secretary general Gabriel Ubach left the CES meeting voicing strong disappointment, arguing the draft equates outdated properties with new ones for price hikes, ignoring affordability for low-income groups. The union demands binding caps limiting rents to 30-35% of household income, IPC-only increases for pensioners, safeguards for earners up to 1.5 times the minimum wage, rapid public housing expansion, and mandatory biennial social impact reviews. Ubach tied the issue to eroding trust, citing the EU agreement referendum, and confirmed a meeting next week with SHA to plan "large-scale" rallies. USdA projects that among roughly 25,000 rentals—20,000 on extensions—an 80m² Andorra la Vella apartment could rise from €5.50/m² (€440 monthly) to €10.70/m² (€856) in three years, a 94% increase later subject to IPC. This would claim 61% of a €1,400 minimum wage (from 31%) or 95% of a €900 pension (from 49%), leaving €44 for essentials. New leases already top €13.50/m², blocking young adults' independence.

SHA, after its February 28 open assembly and a February 18 session with Head of Government Xavier Espot and Housing Minister Conxita Marsol, released a statement valuing dialogue but labeling the gradual thaw "politically muted deregulation" favoring large landlords over tenants. It rejects narratives of balanced rights, insisting the focus on who, how much, and when rents rise sidesteps price legitimacy, market distortions, and past inequities, potentially sparking a 2027 housing and social crisis. SHA aligns fully with USdA, planning parish- and neighborhood-level actions post-consultations, with detailed feedback soon. The group is building local branches while debating broader mobilizations.

Landlords also expressed dissatisfaction. Associació de Propietaris de Béns Immobles president Jordi Marticella, after a recent meeting with members and non-members, urged immediate deregulation after years of controls, suggesting tax incentives, rehabilitation support, and faster phasing. He stressed hikes are optional and staggered, estimating €200-€1,000 over five years—often under €500 even with parking—and noted owners' maintenance burdens have stalled turnover, pushing up new-rental prices. Many controlled units range €500-€1,000, some large ones with parking below €500, becoming unsustainable for owners.

Marsol defended the draft's balance, highlighting alignment with public housing rates, a six-month termination notice (up from three) for tenant security, and a forthcoming rent default guarantee fund, affordable rental incentives, and compensation for "child trap" abuses. The government eyes parliamentary submission soon, aiming for June approval, and plans 150 extra public units via 2025 surplus-funded purchases, targeting 500 total by legislature's end.

The "projecte de llei d’aprovació del règim jurídic aplicable als contractes d’arrendament d’habitatge per a residència habitual i permanent per al període 2027-30" transitions to market terms under Llei d’arrendaments de finques urbanes over four years: pre-2012 or sub-€6/m² extensions end 2027 (up to 6% + IPC yearly), tiered by age/price to 2030. New contracts allow 1-6% + IPC over five years, even above €12/m². Sub-parish public rates enable three-year ramps. Exemptions cover passive residents, rents over €2,000, safety works, owner/family use, sales, or tenant non-renewal. Overcharges trigger 50% annual fines plus refunds.

Sindicat d’Ensenyament Públic's Sergi Esteves faulted absent public-price caps, while Confederació Empresarial welcomed balance but sought hikes up to 8% + IPC and quicker public-rate alignment.

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This article was aggregated from the following Catalan-language sources: