The government established “three major strategic objectives” for housing in the proposed State Budget Law for 2026 (OE 2026). To respond to the country’s housing crisis, the executive proposes to increase and diversify the supply of affordable homes and reinforce the public housing stock; simplify the urban control process and provide legislative stability; and, finally, promote decent access to housing, with inclusion and protection of the most vulnerable.
In the context of the rental market, Luís Montenegro’s government plans to “strengthen the security and stability of the rental market through legislation”. It is also proposed to protect “families in a situation of special vulnerability”, through “an increase in the average value of monthly support per household”. Another of the measures included in the OE 2026 proposal report in this context is the promotion of affordable rental offers, with an increase in the number of contracts signed under this regime.
When it comes to public housing, the objective is to increase supply. And remember that 930 million euros are planned for 2026 in public promotion and rehabilitation programs, which will cover 22 thousand people. At the same time, it is committed to mobilizing public assets to build houses.
Regarding urban planning licensing, the government states that “it will be focused on administrative modernization […] and regulatory review”. According to the document, it will invest “in the digitalization and simplification of processes, including the implementation of a single national platform for licensing, and in the review and harmonization of urban standards and regulations with a view to simplifying urban planning and construction”.
