Housing Crisis: 67% More Families Seek Rent Support

Housing Crisis: 67% More Families Seek Rent Support

Rising rent pressures in Portugal are forcing hundreds into financial hardship as government support shrinks. Families face tough choices, debt, and long waits for aid amid growing housing insecurity.

Hundreds Ask for Assistance as Support Programs Shrink

The number of people seeking help to pay rent in Portugal rose by 67% in the first quarter of 2025 compared to the same time last year. According to Deco, the national consumer protection group, more than 300 people reached out between January and March, many of them unable to meet monthly payments after losing government assistance. Families affected say they are now making difficult choices—cutting down on food and other basics just to keep their homes.

Help for Rent

Thousands Lost Aid Without Notice Due to Tax Filing Issues

A major reason for this sudden increase in hardship is the loss of the government’s extraordinary rent support. In February, 46,000 people lost this aid without any warning, due to mistakes or missing information in their tax records. In total, 87,000 people lost the benefit since last year. The monthly aid - worth up to 200 euros - was granted automatically through a system that checks income and housing costs using data from the Tax Authority and Social Security.

Families Turn to Credit and Loans to Cover Housing Costs

Deco warns that people who no longer receive rent support are being pushed into debt. Natália Nunes, head of Deco’s Financial Protection Office, said many tenants are now behind on rent or using credit cards and personal loans to avoid eviction. She noted that food budgets are often the first to be cut.

Waiting Lists Grow for Public Rent Support Program

The government’s Porta 65 program, aimed at helping young people with rent, is overwhelmed with applications. Many families who lost the extraordinary rent aid are waiting for a decision on their applications, with no clear timeline for approval. Deco says the pressure on households will only grow. The group is calling for urgent improvements to support systems to prevent more people from falling into housing insecurity.

Source: Jornal da Madeira

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