Andorra Broadens 30-40 Affordable Housing Subsidy Eligibility and Cuts Red Tape

The Andorran government has amended the regulations governing its 30-40 affordable housing subsidy, broadening eligibility and simplifying how residents apply. The changes are intended to widen the pool of people who can access the scheme and reduce administrative complexity, with the principal change being a lower minimum income requirement.

Under the revised rules, working adults in an applicant household must earn at least the current minimum wage, down from the previous requirement of 1.2 times the minimum wage. The programme now targets individuals and households earning between one and 3.5 times the minimum wage, provided they can demonstrate at least fifteen consecutive years of residency in Andorra and meet the established asset requirements. The asset ceiling remains ten times the annual minimum wage.

Exceptions to the income requirement are retained for university students, people on temporary medical leave, carers of dependent persons, and pensioners.

For renters, the subsidy covers the difference between the monthly rent and the maximum share of income a household is expected to devote to housing, which ranges from 30% to 36% depending on economic capacity. Households earning up to 1.5 times the minimum wage are expected to contribute 30%, with the percentage rising progressively to 36% for the highest incomes covered by the programme. An equivalent-income system accounts for household composition. The amount of aid is capped at the affordable reference price of the public housing stock in each parish, increased by 20%.

The scheme also assists homeowners who spend more than 40% of their income on mortgage payments for their first permanent home, provided the purchase price of the property and any annexes does not exceed €600,000.

A further change concerns coordination with the rental aid offered through the social affairs department. Applicants who meet the residency and income requirements must apply to the 30-40 Programme first, and may only turn to the ordinary social affairs subsidy if they receive an unfavourable decision. Current recipients of that subsidy may also apply to the new programme, but a successful application automatically cancels the earlier benefit, with the competent department notified directly. The government says the measure is designed to avoid duplication and unify access criteria.

Applications are to be submitted online through the government's electronic portal by means of a self-declaration in which the applicant certifies the accuracy of the information provided. Payments are made monthly, and the aid initially lasts twelve months, renewable while the required conditions are met. Beneficiaries must provide proof of rent or mortgage payment within fifteen days of receiving each payment, and the administration may revoke the aid and seek repayment in cases of non-compliance or false information.

The government launched a communications campaign in October to raise awareness of the programme. The new regulation takes effect on 1 November 2026, from which date applications may be submitted, with payments beginning on 1 January 2027, or from the date of application if later. The programme is initially set to run until 31 December 2030, and at least until the government's public housing stock reaches 1,500 units.