The issue of the future of pensions in Spain has unexpectedly found itself at the heart of a political storm, affecting not only pensioners but also millions of property owners. A new government decree brought before Congress has sparked a fierce reaction from the opposition and ignited heated debates. The cause—a move to combine several controversial measures in a single document, including protections for illegal occupants (okupas) and a suspension of evictions.
For Spaniards, this is more than just another political skirmish. The decision made now will determine how property owners’ rights are protected and how securely pensions are indexed in the coming years. As the cost of living continues to rise and social tensions remain high, such initiatives take on added urgency.
A decree without compromises
The government has submitted a comprehensive package of measures for consideration which, along with raising pensions in line with inflation, also extends the so-called ‘social shield’ for illegal occupants. Specifically, it includes a ban on cutting off utilities for those occupying housing without permission, as well as a temporary suspension of evictions.
The opposition, especially the Partido Popular (PP), strongly opposed this approach. In their view, combining such disparate issues into a single decree is an attempt to push through unpopular decisions under the guise of social support for pensioners. PP representatives emphasize that they do not object to pension indexation, but they categorically oppose making pensioners’ welfare dependent on political deals and concessions to the government’s radical allies.
Property owners against ‘occupiers’
Special outrage was sparked by provisions that, according to the opposition, actually legalize unlawful occupation of private property. The ban on disconnecting electricity and water for squatters, as well as the freeze on evictions, critics argue, undermine the foundations of private property and set a dangerous precedent. In regions governed by the PP — Madrid, Andalusia, Valencia — the fight against so-called ‘squatter mafias’ has been ongoing for some time, and the new measures are viewed as a step backward.
Debates continue in the parliamentary corridors: some insist on the need to protect vulnerable groups, while others demand not to confuse social support with encouraging lawlessness. Authorities claim these measures are temporary and intended to prevent a social catastrophe; however, the opposition sees this merely as political maneuvering and an attempt to hold onto power at any cost.
Financial traps
Another sticking point is the inclusion of territorial financing issues in the decree. The opposition accuses the government of using urgent measures to plug budget gaps and make promises to autonomous communities without proper discussion. According to critics, this approach undermines trust in institutions and creates uncertainty for regional budgets.
In addition, the package includes a revision of the system of social electricity discounts. The opposition argues that the proposed changes distort the market and fail to address the root causes of energy poverty, merely creating new loopholes for abuse.
Political stakes
The focus is not only on economic consequences, but also on political risks. The opposition fears that the government is deliberately linking pension reforms with other controversial issues in order to put its opponents in a difficult position. Responding to accusations of blocking pension increases, PP representatives claim that the authorities themselves have made pensioners dependent on political bargaining and deals with radical allies.
In regions where the opposition controls local parliaments, preparations are already underway to tighten measures against illegal occupants. At the same time, the central government insists on a comprehensive approach and warns of the risks of social destabilization if the ‘social shield’ is abandoned.
Public reaction
Public opinion is divided. On social media and in the streets of major cities, people are debating who really benefits from the new measures—pensioners in need of support, or those breaking the law by occupying others’ homes. Authorities insist they are acting in the interests of the most vulnerable, but skepticism is growing: many see what’s happening as yet another round of political games, with real problems left unresolved.
As the fate of the decree remains uncertain and tensions in parliament continue, millions of Spaniards are waiting to see how their lives will change after another round of political confrontation. The question of whether it is possible to combine protection for pensioners with the fight against illegal occupation remains open—and it seems there won’t be an easy answer.
