Airbnb Faces Major Setback in Spain as Government Demands Removal of Thousands of Listings

Spain Orders Airbnb to Remove Thousands of Listings

The Spanish government has instructed Airbnb to remove over 65,000 listings from its platform. This move is primarily due to the lack of license numbers and owner details on these listings, which violates existing rules. The government alleges that these infringements contribute to the ongoing housing crisis in Spain.

Details of the Listings

According to the Consumer Rights Ministry, most of the Airbnb listings set for removal either lack their license number or fail to specify whether the owner is an individual or a corporation. This oversight led to the government’s action against Airbnb as part of its wider crackdown on holiday rental businesses.

Statements from the Consumer Rights Minister

Consumer Rights Minister Pablo Bustinduy stated that this action aims to curb the prevalent “lack of control” and “illegality” in the holiday rental sector. “Enough with protecting those who make a business out of the right to housing in our country,” he said. Bustinduy also mentioned that Madrid’s high court supports the request to withdraw around 5,800 listings.

Airbnb’s Response

Airbnb intends to appeal the Spanish government’s decision. A spokesperson for the company argued that the ministry lacks the jurisdiction to make rulings on short-term rentals. They also claimed that the ministry did not provide an evidence-based list of non-compliant accommodations, and that some of the listings flagged as problematic are non-touristic seasonal rentals.

The Larger Issue of Housing in Spain

The Spanish government, local city councils, and regional authorities are cracking down on tourist rentals through platforms like Airbnb and Booking.com. Spaniards argue that these platforms contribute to over-tourism, decrease housing supply, and render renting unaffordable for many locals. Housing has become a pressing issue in Spain, with construction struggling to meet demand since a real estate bubble burst over 15 years ago. Official data reveals that there were about 321,000 homes with holiday rental licenses in Spain as of November last year, a 15% increase from 2020. However, many more operate without official licenses.

Governmental Measures

The Consumer Rights Ministry initiated an investigation into Airbnb in December. In January, Prime Minister Pedro Sanchez announced a plan to increase taxes on income from holiday rentals through platforms. Barcelona Mayor Jaume Collboni made the most drastic move in June last year when he ordered a total ban on tourism rentals by 2028. Other European countries like Croatia and Italy are also taking measures to regulate the holiday rental business.

Discover more at Reuters.