Latest news and stories about construction in government in Portugal for expats and residents.
New urban planning regulations aimed at reducing bureaucracy have officially taken effect, prompting calls from the Order of Architects for a monitoring committee to oversee the transition as municipalities adjust to the changes.
The Public Prosecutor's Office has requested the immediate suspension and potential demolition of a Hilton hotel and apartment development in Cascais, citing legal irregularities in the land sale and authorization process involving current Minister of Infrastructure Miguel Pinto Luz.
New legislation for modular construction is expected to act as a catalyst for industry growth and scale, with major firms welcoming the integration of industrial building alternatives into public procurement codes.
Socialists want an 'impact mitigation contract' signed regarding truck movements at the construction site.
Former Secretary of State for Tax Affairs Sérgio Vasques believes that Portugal has managed the housing and urban rehabilitation VAT file “in a very, very amateur way,” creating paralysis.
The proposed 2027 State Budget is unlikely to provide the expected stimulus for the construction sector, according to the Portuguese Housing and Development Association (AHDPP). The association highlights that the VAT reduction from 23% to 6% is projected to have a '0.0% of GDP' fiscal impact, suggesting the measure will be ineffective. AHDPP argues that the government is prioritising tax relief for existing landlords over new construction, while noting that short-term tax incentives for corporate housing are insufficient for long-term development. The association also warns of inflationary risks from continued rent support and urges for greater transparency regarding public housing goals and a move towards leasing public land rather than selling it to address the supply crisis.
Pedro Duarte further assured that he has not changed his opinion on the project and reiterated that it would never have been licensed in its current form during his term.
Álvaro Beleza believes that setting a date for hosting the Olympic Games could help meet construction and renovation schedules. SEDES is considering targeting the 2040 or 2044 editions.
Pinto Luz acknowledges that the excavation and earthmoving sector has been overlooked.
Gaia will have the deepest high-speed station in the world, highlights the CEO of Casais. António Carlos Rodrigues points to this factor and others encountered during ground prospecting work to justify the proposed changes - since rejected by the APA - put forward by the LusoLav consortium, which will build the first section of the high-speed line between Porto and Lisbon, corresponding to the route between Porto and Oiã, and which has applied to build the second section between Oiã and Soure.
The local authority clarifies that “legality was restored through the correction of the detected irregularities.” At issue was a partial embargo due to an 80cm deviation in the maximum authorized height.
The Government took an important step. Perhaps the most significant in this matter in recent years. But it stopped halfway.
The Vizinhos em Lisboa association analysed the Special Noise Licences (LER) issued by the capital's municipality last year and concluded that the current system is “heavily asymmetric and seasonal”.
The construction firm Construbarcelos has been operating without legal certification since 26 March 2026. According to data from the IMPIC portal, the company owned by João Carvalho—a contractor and friend of the current Minister of Internal Administration, Luís Neves—had its licence and public works contractor certificate cancelled due to failure to pay the regulatory fee. The news was reported this Friday, 17 July, by Observador. The IMPIC states that the deadline for payment was 20 February, and failure to pay results in the cancellation of the operating title. The AICCOPN confirmed that this prevents the company from executing any works in both the public and private sectors. As the Minister of Internal Administration has acknowledged that renovations on his property in the Alentejo are still ongoing, this situation may impact the case currently affecting the official. Despite the lack of sector-specific licences, the company retains an active security clearance from the National Security Office (GNS). Between 2019 and 2025, Construbarcelos secured 17 contracts with the Judiciary Police (PJ) worth 2.3 million euros, while also performing private work for Luís Neves and his wife's company, ALCampos, at a property in São Teotónio.
The municipality reportedly has only three inspectors currently to monitor construction works, which the opposition believes encourages illegal building. A request for an extraordinary meeting remains unanswered.
Building work be allowed in Albufeira during July and September after the municipality approved a temporary lifting of its long-standing summer construction restrictions. Until now, the municipality’s urban planning regulations The post Albufeira lifts construction ban for most of the summer appeared first on Portugal Resident.
Home News Portugal approves amendment to VAT on urban rehabilitation Portugal approves amendment to VAT on urban rehabilitation The PSD's bill clarifying the application of the reduced VAT rate to construction projects in urban rehabilitation areas, even without an existing urban rehabilitation o
Engineers classify the changes as “generally positive”, although they consider that “the [public procurement] code remains a dense and complex document”. “Decision-makers should have gone further”
The process to review Sintra's Master Development Plan is set to begin. New road axes, the northern zone, and urban parks will be the focus. The opposition voted against it due to an attached document they consider “an insult”.
Home News AIMA to train immigrants for construction jobs in Portugal AIMA to train immigrants for construction jobs in Portugal Portugal is launching a new training initiative aimed at helping immigrants enter the construction sector, as the industry continues to face shortages of skilled workers
An overview of the proposed legislative changes to streamline and update the regulatory frameworks for construction, urban development, and building rehabilitation in Portugal.
Second part of the Investigação CM from May 28, 2025, on CMTV.
The Government is preparing a new package of measures to regulate industrial construction. One of the objectives of the new regulation is to create conditions for public entities, namely municipalities, to launch tenders for so-called modular or industrialized construction through framework agreements, the Minister of Infrastructure and Housing stated in a podcast.
Municipal inspection action detected the deviation.
Prime Minister Luís Montenegro announced this Friday the approval, in the Council of Ministers, of a set of 'structural and strategic instruments for transformation and reform' focused on housing, with the goal of increasing supply and facilitating market access. Among the main measures is the so-called 'fiscal package', which provides for a...
The Secretary of State for Tax Affairs says that the reduction of VAT to 6% for housing construction is naturally conditioned by the EU legal framework.
The 6% VAT rate on construction is set to expire in 2029. Pinto Luz states that the measure will be re-evaluated that year and admits the possibility of its extension. Regarding rent subsidies, he claims that the issues have been resolved.
The investment planned for the next decade in public works is overwhelming: 60 billion euros. The Government has been committed to attracting foreign construction companies for projects in Portugal and suggests international partnerships, but the CEO of Mota-Engil guarantees that there is capacity in Portugal, provided there is “predictability”. “They are absolutely wrong”, fires Carlos...
The government is considering legalising the status of immigrants to bolster the construction sector.
