Feijóo's embrace of Abascal's fixed-rate mortgage plan is a worrying sign that the Popular Party will trade policy for far-right support without proper scrutiny. The proposal, while superficially appealing, could distort the mortgage market by forcing banks to offer products that may not be sustainable in the long term. Fixed-rate loans require banks to hedge against interest rate risk, which could lead to higher upfront costs or reduced lending overall. Additionally, the political context matters: Feijóo is normalizing cooperation with Vox, a party that has often been criticized for its extreme views on immigration and gender equality. By adopting Vox's flagship policy, Feijóo risks alienating moderate voters and emboldening a party that questions democratic institutions. The housing crisis requires comprehensive solutions like increasing supply and regulating rental markets, not a quick fix that benefits banks more than borrowers. This deal looks like a desperate bid to lock in Vox's votes before a potential election, rather than a thoughtful economic measure. Voters should question whether the price of political stability is worth handing policy influence to a party many consider outside the mainstream.
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Opposing Feijóo's mortgage pact with Abascal as a dangerous political bargain
Published July 26, 2026 at 5:32 PM UTC