Spanish government says housing market is not a ‘free for all’ after recent crackdown on Airbnb

By SUMAN NAISHADHAM MADRID AP Spain s authorities required to send a message last month with its crackdown on Airbnb that the Spanish market system and its housing territory are not a free for all that value profits over the rule of law a minister communicated The Associated Press on Tuesday Related Articles Fed lifts restrictions placed on Wells Fargo in because of its fake-accounts embarrassment Ticker McDonald s is bringing back a fan favorite on July Wall Street rises again Instruction Department says it will not garnish Social Safety of learner loan borrowers in default Snack Wrap unwrapped Here s why McDonald s is bringing back a fan favorite on July things financial experts wish they knew in high school The ruling body ordered Airbnb to remove almost holiday rentals from the platform which it mentioned had violated local rules by failing to list license numbers listing the wrong license number or not specifying the apartment s owner Airbnb is appealing the move Spain is one of the world s greater part visited countries Last year the Southern European nation of million received a record million international visitors But a housing affordability complication that is particularly acute in cities such as Madrid and Barcelona has led to growing antagonism against short-term holiday rentals Airbnb is perhaps the best-known and most of visible actor The Spanish regime says the two are related the rise of Airbnb and other short-term rental companies and rising rents and housing costs Obviously there is a correlation between these two facts Consumer Rights Minister Pablo Bustinduy communicated the AP It s not a linear relation it s not the only factor affecting it there are various others but it is obviously one of the elements that is contributing A new Bank of Spain document mentioned the country has a shortfall of homes In the tourist hot spots of the Canary and Balearic Islands half the housing stock is tourist accommodations or properties owned by nonresidents the review mentioned Tourism is for sure a vital part of the Spanish economic activity It s a strategic and very crucial sector But as in every other economic activity it must be conducted in a sustainable way Bustinduy declared It cannot jeopardize the constitutional rights of the Spanish people Their right to housing but also their right to well-being The country has seen several large protests that have drawn tens of thousands of people to demand more regime action on housing Homemade signs including one that read Get Airbnb out of our neighborhoods at a latest march in Madrid point to the growing anger A balance must be revealed between the constitutional rights of the Spanish people and economic events in general Bustinduy reported Banners against tourist holiday rentals hang on the facade of a building in downtown Madrid Spain Tuesday June The writing in Spanish reads More neighbors fewer tourists Tenant power and Looking out for each other as neighbors stirring things up AP Photo Manu Fernandez Tourists wait at the entrance of a building in downtown Madrid Spain Tuesday June AP Photo Bernat Armangue Stickers against tourist holiday rentals are attached on a pipe in downtown Madrid Spain Tuesday June The writing in Spanish reads This is a hotspot for housing speculation Tourist rentals out and More neighborhood speculators out AP Photo Manu Fernandez Tourists carry their luggage in downtown Madrid Spain Tuesday June AP Photo Manu Fernandez Show Caption of Banners against tourist holiday rentals hang on the facade of a building in downtown Madrid Spain Tuesday June The writing in Spanish reads More neighbors fewer tourists Tenant power and Looking out for each other as neighbors stirring things up AP Photo Manu Fernandez Expand Regional governments in Spain are also tackling the issue Last year Barcelona broadcasted a plan to close down all of the apartments licensed in the city as short-term rentals by to safeguard the housing supply for full-time residents Airbnb reported that while its appeal goes through the courts no holiday rentals would be this instant taken down from the site In response to Spain s order Airbnb has stated the platform connects property owners with renters but it doesn t have oversight obligations even though it requires hosts to show that they are compliant with local laws Bustinduy explained Spain s current action reflects a desire in Spain but also elsewhere to hold tech companies like Airbnb to account There is a battle going on about accountability and about responsibility Bustinduy mentioned The digital nature of these extraordinarily powerful multinational corporations must not be an excuse to fail to comply with democratically established regulations Bustinduy who belongs to the governing coalition s left-wing Sumar party dismissed the idea that the Spanish establishment s action toward Airbnb could discourage selected tourists from visiting It will encourage longer stays it will encourage responsible tourism and it will preserve everything that we have in this wonderful country which is the reason why so plenty of people want to come here he noted The minister also took a shot at low-cost airlines Spain has pushed against allowing such airlines to charge passengers for hand baggage Last year it fined five budget airlines including RyanAir and easyJet a total of million for charging for hand luggage The principle behind these actions is invariably the same preserving consumer rights Bustinduy commented Powerful corporations no matter how large have to adapt their business models to existing regulations Joseph Wilson contributed to this review from Barcelona Spain