France, Greece, and Portugal May Impose Housing Tax on British Expats Following Spain's Move

France, Greece, and Portugal are considering implementing a housing tax on British expats, similar to the measure recently announced by Spain. Spain's new policy, introduced by Prime Minister Pedro Sánchez, involves a 100% housing tax on non-EU residents to prioritize affordable housing for its citizens.

This decision has caused concern among British communities in Spain.

The Mirror reports that France, Portugal, and Greece might adopt the same approach, potentially affecting British residents in those countries. Like Spain, France and Portugal are grappling with housing crises, marked by rising costs and limited availability. In France, short-term holiday rentals have surged despite efforts to regulate them, while Greece has already banned short-term rentals in central Athens.

Currently, homebuyers in Spain must pay between 10% and 12% in costs and taxes. The proposed 100% tax aims to make more housing available for residents. Prime Minister Sánchez has criticized foreign buyers for purchasing homes for speculative purposes, contributing to the housing challenge. He noted that European house prices have risen by 48% over the past decade, presenting a significant issue.

Additionally, Spain plans to terminate its 'golden visa' scheme, which has allowed non-EU citizens, including many Brits, to live and work in Spain by investing at least €500,000 in property. This move is designed to address the shortage of affordable housing in major cities like Barcelona and Madrid.

Originally introduced to boost Spain's economy after the financial crisis, the golden visa scheme is now under scrutiny, particularly following Brexit.