Maricarmen Abascal, an 87-year-old woman with partial disability, was forced out of the Madrid flat she had occupied all her life on September 23. Exhausted by the struggle, she was hospitalized and died on October 7, never seeing her home again. On that very morning, Prime Minister Pedro Sánchez stood before the United Nations General Assembly in New York, delivering a speech that denounced the influence of “tech-oligarchs” and warned, “The future of our sons and daughters must take precedence over the financial interests of these techno-oligarchs.”
Economic triumphs masked by social strain
Spain is celebrated as the fastest-growing economy in Europe, a status confirmed by both the Banco de España and the International Monetary Fund. Unemployment has fallen to historic lows and foreign investment rose by 34 % since 2018, according to the Ministry of Economy. Yet the macro-boom coexists with rising inflation, unaffordable housing and wages that have not kept pace. The statutory minimum wage climbed from €735 to €1 221, but broader salary growth remains stagnant.
Housing affordability spirals
Housing costs have surged between 30 % and 40 % nationwide over the past eight years, soaring to 70 % in the most coveted markets. Rental prices now outstrip the minimum wage, prompting a wave of tent cities across Madrid and other urban areas. The Ministry of Housing and the portal Idealista, which lists roughly 500 000 properties, echo these figures. Regional governments, many led by the centre-right Partido Popular (PP), have repeatedly resisted national attempts to curb rent hikes.
Ceuta migration surge
In late July, the Spanish enclave of Ceuta on the North African coast received over 72 000 migrants, a shock to a town of just 83 000 residents. The episode exposed friction between the defence and interior ministries and required nearly three months to stabilise, underscoring the government’s difficulty in handling sudden humanitarian pressures.
Legislative gridlock and the looming snap election
Since the 2023 election, Sánchez has governed without a clear left-wing majority, leaning on ad-hoc support from nationalist parties. This fragile arrangement has produced “legislative paralysis,” with fewer than 40 laws passed this session compared with over 100 in the previous term. The situation worsened when a 2025 proposal to curb evictions – amid more than 25 000 evictions that year, according to the General Council of the Judiciary – was blocked in a fragmented parliament.
Internationally, Sánchez’s once-solid network of youthful leftist allies – Sanna Marin, Justin Trudeau, Jacinda Ardern – has faded, while his rapport with Emmanuel Macron and EU Commission president Ursula von der Leyen carries less weight amid France’s internal turmoil and rising austerity sentiment. Even a visit to Harvard after the UN speech met with probing questions about Spain’s corruption scandals.
On October 5, Sánchez announced a snap election for November 29, just two days before Maricarmen Abascal’s death was confirmed. Polls a month before the vote give the incumbent a modest 5 %–10 % chance of retaining power. Analysts warn that a Sánchez defeat could erase one of Europe’s remaining strongholds of social democracy, as the country’s progressive legacy has long rested on his international advocacy for climate action, AI governance, and a humane migration policy.
