Open-market housing prices in Spain rose 12.2% year-on-year in the second quarter, seven tenths of a percentage point less than in the previous quarter. Prices have now climbed for 49 consecutive quarters, just over 12 years. New home prices rose 7.4%, the slowest pace since the first quarter of 2023, while existing home prices rose 12.9%. Every region posted positive annual rates; Ceuta led at 15.2% and Navarra was lowest at 9.5%.
Markets expect the ECB to raise rates by 25 basis points this week, taking the deposit facility to 2.5%, the highest since March 2025. Eurozone inflation hit 3.3% in August, driven by energy prices in the wake of the US-Iran conflict. JP Morgan and BNP Paribas expect another hike before year-end, likely in December. Higher ECB rates often push up Euribor and variable-rate mortgages in Spain.
Spain extracted more gas from storage than it injected in July and August, recording a net drawdown of 161.2 GWh and breaking the usual summer refill pattern. LNG arrivals fell almost 23% as tankers chased higher-paying buyers amid the Strait of Hormuz blockade, while gas use for power generation rose 31%. Storage ended August at 74% full, above the EU average of 65%, so sector sources rule out winter shortages.
The cost of Ceuta's migrant crisis is approaching €500 million for taxpayers, and the city warns of a bankruptcy risk. More than 70,000 people entered during the crisis; about 7,000 remain. The government announced a €309 million shock plan, but finance councilor Kissy Chandiramani says €208 million of it covers security and reception, which are mainly state responsibilities; the aid runs only until December.
A new EU packaging regulation, effective August 12, requires Spain to introduce deposit-return systems for bottles and cans. Supermarkets, bars and restaurants will charge a refundable deposit of around 10 cents, returned when the empty container is handed back. The EU requires a 70% collection rate; Spain collected only 41.3% of single-use plastic bottles in 2023.
ERC is abandoning its traditionally open-border stance on immigration, with Oriol Junqueras saying Catalonia cannot take in migrants “infinitely.” The shift comes amid the Ceuta crisis and after the Spanish government proposed distributing unaccompanied minors among regions. JxCat has also moved toward immigration control, while Aliança Catalana, led by Sílvia Orriols, rises in the polls.
More than 80% of people in Spain breathe polluted air, according to Greenpeace. An Ecologistas en Acción report found that almost 33 million people were exposed in 2025 to pollution above the new EU limits. Road traffic is the main source, with industry, ports, cruise ships and airports also affecting nearby residents. Spain requires low-emission zones in municipalities above 50,000 inhabitants.
Spain's Ley de Propiedad Horizontal allows a community of owners to take action against a neighbor who plays music too loudly. Under Article 7, owners and occupants cannot carry out banned, damaging, or harmful activities. Sanctions can include prohibiting the offending neighbor from using their home for up to three years.
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