Spain’s tourism boom strains affordability for residents in major cities

Spain received a record 22 million international visitors in the first quarter of 2026 — an 11 per cent rise year-on-year — yet the tourism boom is increasingly straining the social contract in major destination cities.

Rental prices in Barcelona have climbed by 18 per cent over twelve months. The Balearic Islands’ regional government has approved a moratorium on new short-term rental licences. Madrid’s city council is consulting on a tourist tax that would feed directly into a housing fund.

Trade unions have called for a national framework that would permit regions facing acute pressure to introduce sector-specific measures, including caps on cruise ship arrivals and restrictions on holiday let conversions in residential buildings.

The European Commission has indicated it is monitoring the situation but regards it primarily as a matter for member state authorities.

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