Spanish lawmakers on Thursday approved one of two housing decrees whose rejection by parliament last month triggered an early general election on 29 November, a day after a nationwide general strike in protest at housing costs.

The measure was passed by a one-vote margin by the standing body of 69 caretaker deputies who remain in place after parliament was dissolved. It includes rent caps, a temporary ban on evictions and limits on corporate purchases of residential property.

Second measure rejected by one vote

The same body rejected, also by one vote, a second measure sought by tenants' associations, which would have required the automatic renewal of rental contracts. The two decrees were published in the official state gazette in early October, when they took effect temporarily, and parliament's earlier refusal to ratify them brought down the government.

Spain's first general strike in fourteen years took place on Wednesday, backed by the country's two largest unions, UGT and CCOO, as well as tenants' associations angry about rising rents and evictions. Millions of workers took part, according to reports of the walkout.

Election looms over the housing debate

Opposition leader Alberto Núñez Feijóo, whose conservative People's Party leads in opinion polls, said on Wednesday that he would repeal the decrees if he becomes prime minister. The leftist government argues the measures are needed to tackle soaring housing costs, which have become one of the most divisive issues in Spanish politics.

With the election now just over two weeks away, housing looks set to dominate the campaign, and Thursday's narrow vote shows how finely balanced the argument remains even among the caretaker deputies.

Sources: Reuters; Business Day.