Spain’s Leader Is Betting His Government on the Housing Crisis

Prime Minister Pedro Sánchez of Spain called for early elections on Monday after Parliament last week rejected two key housing decrees amid widespread protests over rising rents and housing scarcity. The elections, originally scheduled to take place next summer, will now be held on Nov. 29.One of the decrees was a relief package aiming to extend eviction protections for vulnerable households, regulate rentals, and offer tax relief and assistance for renters, landlords, and first-time homebuyers, while the other aimed to offer greater stability for renters by establishing automatic renewals. The rejected measures came from Sánchez’s governing coalition, comprising his Socialist Party, PSOE, and the left-wing alliance Sumar. The coalition lacks a majority in Parliament and must rely on other parties to pass legislation. That dependence leaves the government vulnerable when those parties withhold their support—which is what played out with the two housing measures on Oct. 2.In calling early elections, Sánchez is hoping voters will give his coalition enough support in Parliament to advance its housing agenda—but risks handing his opponents the majority instead. “To do more, we need to ...