April & May 2026 Newsletter

Opening Note

April and May reinforced two trends that are becoming increasingly difficult to ignore across Europe.

The first is the continued tightening of administrative and financial oversight. From new EU border systems and digital tax enforcement to Spain’s evolving invoicing and rental compliance frameworks, governments are steadily building more transparent and interconnected systems.

The second is that instability elsewhere continues benefiting Southern Europe, and particularly the Costa del Sol. International investors and relocating families are placing greater value on stability, infrastructure, accessibility, and long-term quality of life. Marbella and the wider region remain well positioned in that environment despite growing pressure on housing and infrastructure.

At the same time, Spain continues balancing strong economic momentum with increasingly visible structural strain: rising property prices, infrastructure bottlenecks, rental pressure, and growing administrative complexity for both businesses and foreign residents.

As always, preparation and proper structuring remain far easier than solving problems retrospectively.

Global News

Global instability continues strengthening Spain’s appeal

Ongoing tensions in parts of the Middle East and wider geopolitical uncertainty are beginning to influence where internationally mobile families and high net worth individuals choose to base themselves long term.

While Gulf jurisdictions remain attractive from a tax perspective, many investors are once again prioritising stability, accessibility, healthcare, education, and legal certainty alongside fiscal efficiency. Southern Spain continues benefiting from that shift, particularly Marbella and the Costa del Sol’s established luxury and international markets.

EU News

EU Entry/Exit System officially launches

The EU’s new Entry/Exit System became fully operational in April, replacing manual passport stamping with biometric registration and digital tracking for non-EU travellers entering the Schengen area.

For non-resident property owners and frequent visitors, this marks another major step toward stricter and more automated monitoring of permitted stay periods.

ETIAS delayed again

The EU’s ETIAS travel authorisation system has once again been postponed and is now expected toward the end of 2026.

Although nothing changes immediately, the overall direction remains clear: Europe is steadily moving toward increasingly digitised and pre-authorised movement systems for non-EU nationals.

Spain National News

Spain’s annual tax campaign is underway

Spain’s 2025 income tax campaign opened in April and runs through until the end of June.

Agencia Tributaria continues expanding digital filing systems while simultaneously increasing oversight and verification mechanisms. This year also saw the launch of “Renta Directa”, a simplified filing system for straightforward taxpayer profiles.

For international residents and individuals with foreign assets or cross-border income, however, the reality remains considerably more complex than the simplified systems suggest.

Hacienda increases scrutiny during tax season

Spanish tax authorities are expected to issue warning letters to thousands of taxpayers requesting clarification or correction of possible inconsistencies during this year’s campaign.

The broader trend remains unchanged: more digitalisation, more data matching, and greater visibility over taxpayer activity.

Electronic invoicing framework formally approved

Spain has now officially established its future mandatory B2B electronic invoicing framework.

Although implementation will be phased over time, the direction is now fully confirmed. Businesses and autónomos should begin adapting systems and workflows well before mandatory deadlines arrive.

Spain continues moving steadily toward a highly digitised compliance environment with increasingly structured financial reporting.

Tourist rental oversight continues tightening

Spain’s short-term rental registry and reporting obligations remain one of the most important ongoing compliance developments affecting foreign property owners.

Administrative integration between platforms, tax authorities, and official registries continues expanding as governments attempt to exert greater control over the tourist rental sector.

At the same time, continued political pressure around housing has created further uncertainty within Spain’s wider rental market.

Andalucía Regional News

Andalucía continues pushing administrative simplification

The Junta de Andalucía introduced further reforms aimed at reducing administrative friction and accelerating environmental and project approval procedures.

While bureaucracy remains one of Spain’s structural challenges overall, Andalucía continues positioning itself as relatively more investment-friendly in its approach to development and business activity.

New regional incentives launched for industry and energy projects

Andalucía also introduced new incentive programmes linked to industrial competitiveness, productive infrastructure, and energy efficiency projects.

The region continues actively competing for investment across logistics, industrial, and energy-related sectors.

Málaga Province News

Málaga enters summer with improved water reserves

After several difficult years of drought concerns, Málaga province entered spring with reservoir levels recovering strongly following heavy rainfall earlier in the year.

While this eases immediate short-term pressure heading into summer, long-term water infrastructure and resource management remain among the Costa del Sol’s most important structural issues as population growth and development continue accelerating.

High-speed rail services return to Málaga

Direct AVE services resumed at the end of April after months of disruption caused by infrastructure damage and repair works.

The Madrid-Málaga connection remains one of the region’s most important economic arteries, underpinning tourism, business travel, domestic investment, and second-home ownership across the Costa del Sol.

Infrastructure pressure becomes increasingly visible

Several major road and access projects across Málaga province are now facing delays and additional scrutiny linked to traffic impact concerns and infrastructure funding disputes.

The Costa del Sol’s economic momentum remains strong, but the strain on roads, housing, public services, and transport infrastructure is becoming increasingly difficult to ignore.

Málaga property market continues moving upmarket

High-end residential developments continue reshaping Málaga city and parts of the Costa del Sol, with premium projects increasingly targeting ultra-high-net-worth buyers.

International demand remains resilient despite rising prices, reinforcing the growing divide between local wage levels and international purchasing power.

Local Municipal News

Marbella investment activity remains strong

Marbella continues approving major hospitality, residential, and commercial investment projects despite wider European uncertainty.

Luxury development, hotel repositioning, and premium residential demand all remain highly active across the municipality as Marbella further consolidates its international market positioning.

Marbella unemployment continues falling

Marbella’s labour market remained strong through April with unemployment falling significantly year-on-year and thousands of new contracts signed.

The local economy continues benefiting from strong tourism, hospitality, construction, and service-sector activity, although this also contributes further pressure on housing availability and affordability.

Estepona strengthens image as a financially stable municipality

Estepona reported another strong fiscal position with surplus finances and zero municipal debt.

The municipality continues positioning itself as one of the Costa del Sol’s most stable and consistently managed local administrations, helping reinforce long-term investor confidence.

Mijas expands CCTV infrastructure

Mijas is moving forward with a major surveillance expansion project involving extensive CCTV coverage across key municipal areas.

Projects of this type increasingly reflect the broader shift toward more monitored and digitally managed urban environments across Spain.

Upcoming Events – June 2026

Marenostrum Fuengirola summer concert season begins

Fuengirola’s major summer concert cycle is now underway at Sohail Castle with an extensive programme of international and national artists scheduled throughout the season.

The event continues reinforcing the Costa del Sol’s position as a major summer lifestyle and entertainment destination.

Housing protests continue in Málaga

Another major housing demonstration has been scheduled in Málaga for 27 June as affordability pressures continue generating political and social tension across Spain’s urban and coastal markets.

Housing availability and affordability remain among the defining issues shaping Spain’s political and economic environment.

Private Sector & Business News

Electronic invoicing becomes a strategic planning issue

Spain’s new invoicing framework means businesses should now begin reviewing software, bookkeeping systems, and reporting procedures rather than waiting for mandatory deadlines.

The broader direction is unmistakable: more automation, more transparency, and tighter integration between financial systems and tax oversight.

Costa del Sol property prices continue rising

International demand and constrained supply continue placing upward pressure on prices across much of the Costa del Sol.

Despite increasing regulation and political pressure around housing, demand from foreign buyers, relocating families, and lifestyle-driven investors remains notably resilient.

Infrastructure quality becoming critical to long-term growth

Industry commentary continues highlighting infrastructure capacity as one of the Costa del Sol’s biggest long-term challenges.

Water systems, roads, housing supply, mobility, and public services are increasingly central to maintaining the region’s competitiveness as growth accelerates.

MAE Consulting

MAE Consulting assists foreign residents, investors, entrepreneurs, and internationally mobile families with navigating Spanish bureaucracy and structuring their life and business operations in Spain.

For guidance regarding any of the developments covered in this newsletter, feel free to get in touch.