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Diario Euskadi

Congress Overturns Rental Extension Decree, Affecting Thousands in Euskadi

The Spanish Congress has rejected Royal Decree-Law 8/2026, eliminating the possibility of extending thousands of rental contracts in Vitoria-Gasteiz and Álava.

Generic image of a gavel on a wooden desk, with a blurred parliamentary session in the background.
IA

Generic image of a gavel on a wooden desk, with a blurred parliamentary session in the background.

The Spanish Congress rejected Royal Decree-Law 8/2026 on Tuesday, leaving thousands of tenants in Vitoria-Gasteiz and Álava without coverage and creating immediate legal uncertainty.

The rejection of Royal Decree-Law 8/2026 by the Spanish Congress on Tuesday leaves thousands of tenants in Vitoria-Gasteiz and Álava without protection. This decision blocks new extensions from this moment, affects contracts expiring between 2026 and 2027, and opens a scenario of immediate legal uncertainty.
The measure, approved in March as a response to the crisis stemming from the war in Iran, allowed rental contracts to be extended for up to two years, limited the annual rent increase to 2%, had already come into force after its publication in the BOE, and was being used by numerous households.
The impact on the territory is significant. In Vitoria-Gasteiz, there are approximately 9,971 active rental contracts. Of these, between 2,900 and 3,000 contracts expire between 2026 and 2027, making them directly affected by the decree's repeal. This impacts between 6,000 and 7,500 people in the Álava capital.
In Álava, the pattern is similar. The territory has about 12,000 active rental contracts, of which around 3,600 fall within the affected period, expiring in 2026 and 2027. This directly affects between 7,500 and 9,000 people. Across Euskadi, the estimate reaches 25,695 potentially affected contracts, out of a total stock of about 85,000 contracts, representing approximately 30% of the market, and translating to between 50,000 and 65,000 people.
The decree's repeal has immediate effects. No new extraordinary extensions can be requested, contracts will again be governed by the Urban Leases Law, the 2% annual increase limit linked to this norm disappears, and the ordinary rental framework is restored. The main focus of uncertainty lies with those who had already initiated the process, as requested extensions are now in a legal limbo.
In Vitoria-Gasteiz, the context exacerbates the impact. The city is declared a tense market area, facing high demand against limited supply, and struggling with housing access. The disappearance of this measure reduces tenants' ability to remain in their homes, increases the risk of price hikes, and adds pressure to an already demanding market.

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