Spanish Senate rejects proposal to abolish Golden Visa.
Recently, a remarkable change occurred in the legislative process of Spain. The Judicial Efficiency Bill was originally an important proposal aimed at optimizing judicial efficiency and solving social hot issues. It was successfully passed by the House of Representatives on November 14, 2024. However, just a few weeks later, the bill suffered a major setback in the Senate. The Senate, led by the People’s Party, rejected the proposal with an absolute majority and returned it to the House of Representatives for further deliberation.
This bill has sparked widespread social discussion, and its core content includes the end of the long-standing “golden visa” policy that has attracted foreign investors. When it was passed by the House of Representatives, it was seen as a landmark reform aimed at modernizing the Spanish legal system by optimizing procedures and shortening case processing time. However, the Senate’s veto shows that there are deep differences between different political parties and chambers in this reform direction, making the future of the bill full of uncertainty.
The Logic Behind The Senate Veto
The Senate rejected the Judicial Efficiency Act mainly based on two reasons:
- Technical issues in legislation: The Senate believes that the bill lacks sufficient clarity and consistency in its provision design, which may lead to confusion in judicial practice.
- Lack of overall planning: Critics point out that the bill overlaps with other legislative projects and fails to be effectively coordinated, which may cause incoherence in the legal system.
This decision not only poses a challenge to the government’s judicial reform plans, but may also delay progress on many pressing social issues.
Legislative Process And Time Frame
According to the Spanish Constitution, a rejected bill will proceed to the following stages:
- Reconsideration: The House of Representatives can override a Senate veto with a supermajority (176 votes), but the government does not currently have enough seats and time-consuming political negotiations may be required.
- Simple majority vote: If an absolute majority cannot be reached, the House of Representatives will have to wait two months before moving forward again with a simple majority. This process is expected to take at least two to three months.
- Bill Termination: If the House of Representatives fails to reach any vote, the bill will be shelved and the legislative process will terminate.
Under the best-case scenario, passage of the bill would take months at the earliest, and could take longer if it enters the redrafting phase.
The Unique Appeal Of The Golden Visa
Since its launch, the Spanish Golden Visa has been favored by investors from all over the world for its convenience and flexibility. In particular, the following advantages make it an important part of European investment immigration policy:
- Short review time: Compared with other investment immigration policies, the golden visa approval efficiency is higher and a visa can be obtained quickly in about 7 months.
- No residency requirement: Investors do not need to reside in Spain permanently, they only need to maintain their investment to meet the renewal requirements.
- Travel freely in the Schengen area: Golden visa holders can freely enter and exit the Schengen area, providing great convenience for business and tourism.
These advantages make the golden visa the first choice for many investors to enter the European market and have injected continuous vitality into the Spanish economy. Its cancellation may have an impact on Spain’s ability to attract foreign investment.
Outlook: Seizing Opportunities Amid Uncertainty
With the direction of legislation still unclear, time is of the essence. For global investors, the Senate’s veto has delayed the advancement of decisions related to the “Golden Visa”, and has won an important buffer period for supporters. Now is the best time to seize investment opportunities.
If you’re considering the Spain’s Golden Visa or need assistance with navigating this program, contact us to support for your clients! We’re here to guide you every step of the way.
