Brit tourist hotspot fines Airbnb €64 million in crackdown on illegal holiday homes

The country is tightening the net on tourist accommodation

Spain has fined vacation rental giant Airbnb €64 million (£56 million) for advertising unlicensed tourist accommodation, the Consumer Rights Ministry confirmed on Monday.

The penalty reflects an intensified crackdown by Spain's leftist government, councils, and regional authorities on platforms like Airbnb and Booking.com.

They are widely criticised for fuelling excessive tourism and inflating housing costs by limiting homes for residents.

Airbnb, which withdrew 65,000 listings in July that the ministry deemed non-compliant, did not immediately respond to a request for comment.

The company can appeal the fine in court.

The ministry said that the fine represents six times the profit Airbnb gained from the illegal listings.

Airbnb earlier withdrew 65,000 listings that Spain deemed non-compliant (AP)

Consumer Rights Minister Pablo Bustinduy said it is the second-largest penalty his department has issued for consumer rights breaches.

In 2024, Ryanair was fined €108 million for charging extra fees on cabin bags.

The European Commission said earlier this year that the fines imposed by Spain on Ryanair and other budget airlines breached regulations.

The ministry said the Airbnb fine was aimed at helping tackle Spain's housing crisis.

“There are thousands of families living on the edge because of housing, while a few get rich from business models that drive people from their homes,” Mr Bustinduy said in the statement.

In 2024, Barcelona unveiled an ambitious plan to phase out all 10,000 licensed short-term rental apartments by 2028, aiming to prioritise housing for permanent residents.

Mr Bustinduy said at the time that his goal was to end the general "lack of control" and "illegality" in the holiday rental business.

"No more excuses. Enough with protecting those who make a business out of the right to housing in our country," he told reporters.

Housing has become a major issue in Spain as construction has failed to keep pace with demand since a construction bubble burst more than 15 years ago.

According to official data, there were about 321,000 homes with holiday rental licences in Spain as of November 2024, 15 per cent more than in 2020.