Defaulting homeowners to get greater protection

After a three-day state-of-the-nation debate marked by bad-tempered exchanges between the government and the opposition, the ruling Socialists on Thursday managed to get all their initiatives approved by Congress, including a measure to protect thousands of mortgaged citizens who cannot meet their payments.

With support from Basque, Catalan and Canary Island nationalists, a resolution was passed raising the amount of a borrower's monthly salary that cannot be seized in case of default on a home loan, from the current 641 euros (the minimum wage in Spain) to 961 euros. If the defaulter has dependents, a further 30 percent per family member will remain untouchable.

The measure aims to alleviate the hardship of many families whose breadwinners lost their jobs in the economic crunch. With unemployment at 21 percent and an extremely high home ownership rate of over 80 percent, foreclosures have become a painful reality across the country. This hardship has served to fuel the widespread protests against Spain's political and economic system synthesized by the 15-M grassroots movement.

All 90 Socialist resolutions got congressional approval, leading Prime Minister José Luis Rodríguez Zapatero to say that this proves the minority government's ability to find "sufficient parliamentary support." Over the last three days, Zapatero was repeatedly asked by opposition leaders to call early elections because of the alleged weakness of his administration in the face of a sustained economic crisis, unrelenting pressure from international markets and continued domestic protests.

Even former Socialist Prime Minister Felipe González weighed in on the matter, saying that "it is convenient for Spain if [the government] sees out its term, but it is not convenient for the Socialist Party." González also said that Alfredo Pérez Rubalcaba, who is the official Socialist candidate for the next elections, should step down from his job as deputy prime minister "right now."

"I like to listen to people, but in this case, they should save themselves the trouble. I know what I have to do and when I have to do it," Rubalcaba replied.

When he does so may ultimately prove irrelevant. Opinion polls show the main opposition Popular Party (PP) enjoying a wide lead, and a survey taken after the end of the debate showed PP leader Mariano Rajoy had won it by five points.

Although Rajoy is generally reluctant to talk policy, the 87 measures presented by the PP in Congress provide insights into what his program might look like. Most focused on lowering taxes and bringing back deductions for home purchases.