The tourism industry thrived, but it negatively impacted local residents, who were swiftly removed from apartments converted into short-term rentals and could no longer afford their local tascas. Property prices nationally soared over 124 percent from 2015 to 2025, while the median price per square meter in Lisbon now stands at around €5,914.
“There are advantages and disadvantages to tourism, and it has helped improve many of our cities,” acknowledged Sérgio Sousa Pinto, a Socialist Party lawmaker who served in the national parliament from 2011 to 2025. “But this isn’t a comfort for families who can no longer afford their rent.”
As president of the European Council, Costa has pushed leaders to address Europe’s housing crisis. However, during his tenure as prime minister, he failed to implement major policies to increase supply or control rising costs. For years, he denied that short-term rentals were affecting home prices, and only moved to end the controversial golden visa scheme in 2023.
Frustration with the cost of living has merged with anger about the state of public services. While Costa’s government reduced many austerity measures, maintaining fiscal stability meant restrained public spending. However, the lack of public investment has been criticized as migration has surged, with foreign residents in Portugal rising from 388,700 in 2015 to 1.5 million in 2024.
Chega has attracted supporters by blaming immigrants for inadequate public services, accusing them of overwhelming hospitals and benefiting from public subsidies. “It’s similar to what he used against the Roma community,” said Magalhães. “It’s an economically irrational argument, but it connects with voters frustrated by rising costs and taxes.”
The party has also gained ground by exploiting resentment rooted in the widespread belief that the country’s political elites are corrupt. Magalhães noted that Portugal’s citizens are among the most skeptical in Europe regarding the integrity of their ruling classes. “We conducted a survey asking participants to think of 100 politicians and estimate how many they believed were corrupt,” he recalled. “On average, respondents suggested 90 were.”
Leave a Reply