The European Commission has proposed a new framework allowing local authorities to restrict short-term holiday rentals in high-pressure housing areas, provided they justify the measures with data. While industry groups like the Portuguese Association for Short-Term Rental Accommodation (Associação do Alojamento Local em Portugal or ALEP) seek more clarity, officials point to cities like Lisbon as examples where such regulations are necessary to manage market pressure.
Update: EU introduces new framework for local housing regulation
The European Commission has clarified that the new Affordable Housing Act is not a mandatory imposition but a set of tools intended to provide legal certainty for municipalities. MEP Sebastião Bugalho noted that the framework allows local governments to address specific territorial needs, though officials acknowledge that regulation alone will not resolve the housing crisis without a significant increase in overall supply.
