Europe’s housing challenge: Assessing affordability in the EU and Spain

Letter from the Editors

Inflation outlook

Spain′s inflation outlook in the wake of the Persian Gulf ceasefire

The ceasefire between the United States and Iran pushed oil and gas prices closer to pre-conflict levels, easing inflationary pressures on the Spanish economy. ...

Monetary policy

Acting under uncertainty: The ECB′s shift toward discretionary monetary policy

On 11 June 2026, the ECB became the first major central bank to raise policy rates in response to inflation pressures stemming from the war in the Middle East, ...

Housing affordability

The roots of Europe′s housing crisis: Why good intentions so often produce bad outcomes

Across Europe, real house prices have risen sharply since 1970 while housing completions per capita have fallen substantially in every major economy, ...

Affordable housing

Housing supply and the limits of the market: Spain′s path to an investable social stock

Spain faces a structural housing shortfall estimated at around 700,000 units, with social housing accounting for just 3.3% of the residential stock, well below ...

Real estate

A new risk taxonomy for European real estate markets

European real estate risks have shifted from credit-driven overheating to structural supply shortages and affordability stress, with Spain illustrating how ...

Banking sector

Spanish bank exposure to real estate: Structural correction and European comparison

Spain′s banking sector has undergone a structural transformation in its real estate exposure since the 2008 financial crisis, shifting away from ...

Banking segments

Loan portfolio profitability: Diversification and bundling as structural levers

Spanish banks are entering a phase of margin normalisation after rate-driven income growth, with lending showing early signs of recovery across segments. ...

Non financial accounts

Spain′s 2025 sector accounts: Strong household balances, weak business investment

Spanish households maintained sound balance sheets in 2025, continuing to generate a net lending surplus even as the savings rate declined and real purchasing ...

Fiscal sustainability

Population ageing and public finances: Spain′s tax revenue gap by 2040

A static simulation applying 2040 demographic projections to 2025 household tax data estimates that population ageing alone would reduce Spanish tax revenue by ...

Regulation and Economic Outlook
Recent key developments in the area of Spanish financial regulation
Prepared by the Regulation and Research Department of the Spanish Confederation of Savings Banks (CECA)
Spanish economic forecasts panel: July 2026
Funcas Economic Trends and Statistics Department
Key Facts
Economic Indicators
Financial Indicators
Social Indicators