The measure announced a few days ago by the government, which creates a "moderate rent" of up to 2,300 euros, heated up the debate in the Parliamentary Committee on Infrastructure, Mobility, and Housing, with criticism from the left and questions from the right.

"We did not decree that rents in Portugal will now be 2,300 euros," stressed the Minister of Infrastructure and Housing, Miguel Pinto Luz, during the procedural hearing in the Assembly of the Republic.

"We did not end the benefits," he emphasized, noting that the Affordable Rental Program (PAA) remains in effect.

"The term [affordable rent] is over, but the benefits aren't," he reaffirmed.

Pinto Luz further clarified that "in the regions under greatest pressure, meaning Lisbon, Porto, Cascais, and Oeiras," the government will be "absolutely fair" from a social perspective.

"We're not providing these benefits for the wealthy," he assured.

Middle-class benefits

"We're providing these benefits for the middle class," he acknowledged. And, anticipating that he would be questioned about which middle class can afford to spend 2,300 euros on rent, he added: "I don't want to live in this country where we continue to say that five thousand euros a month for a husband and wife household is rich. They're not rich. And we also make policies for them. We make policies for everyone."

With the adoption of "moderate rent," the government wanted to "simplify" because "in the housing sector, no one understands each other," the minister observed.

The clarifications did not satisfy the parliamentary left, albeit to varying degrees.

The Socialist Party, through Representative Humberto Brito, admitted that the announced measure "does not change anything substantial," but emphasized that it "further inflamed an already heated market, and that is not the role of the Housing Minister."

This is because the government "sent the wrong signals to the market," stating that it "considers it acceptable and normal for the middle class in Lisbon to pay 2,300 euros in rent" and, consequently, this normalization "will lead to landlords being able to increase rents" in that market.

“Embrace reality”

The Livre Party, represented by Representative Jorge Pinto, said it would "like it to be a reality that a couple earning 5,000 euros was middle class" and urged the minister: "Get out of your bubble and embrace the Portuguese reality."

For the PCP, Paula Santos expressed "astonishment" at the new concept of moderate-value rent, "an insult to workers."

The minister reiterated that 2,300 euros "is the ceiling" and that he wants to ensure that families paying below that level "are all supported," accusing the PCP of creating "an alternative reality."

The measure, he stated, "covers many more income brackets and many more families," given that "there are more families with housing problems" and aims to "support everyone in need, not just those most in need."

The minister is confident that "the market will work" and asked the deputies: "Because we now have a ceiling above which we have no tax benefits, will rent in Oleiros become 2,300 euros? (...) Let's not play games with the Portuguese. This measure applies to everyone."

Pinto Luz said he didn't perceive the reaction to the measure as "the most immoral and unfair," even considering it "a spur-of-the-moment frenzy," when it was simply a matter of "simplifying all existing formulas" into one.

"The measure is clear, simple, with few formulas, and it covers the entire national territory and the largest possible range of incomes," he said.

Regarding the details of the measure, the minister said that "the process is being finalized," leaving a commitment: "As soon as we have the finalized project, of course, we will share it, of course, we will discuss it."