During the last legislature, the Ministry of Consumer Affairs—in the hands of Alberto Garzón—. Unlike other decisions, this measure went unnoticed, but the fruits are being reaped by the new minister, Pablo Bustinduy (Madrid, 41 years old): a few days ago, his ministry sanctioned several airlines with 179 million euros for abuses such as charging the hand luggage, a pioneering initiative in Europe. The head of Social Rights, Consumption and Agenda 2030 – who has been in office for one year – is already investigating other sectors, such as the sale of tickets for shows and housing, where he promises a tough hand: “We are going to pursue businesses based on violation of consumers.”
Ask. The consumer area has been integrated into another ministry, but you talk more and more about it.
Answer. The integration of Consumption in Social Rights responds to a political hypothesis that raises its status: it considers that the rights of consumers are social rights and have to be defended. Democracy has to reach economic relations. The reinforcement of social protection goes hand in hand with the defense of consumer rights.
P. In this legislature, the ministry has for the first time begun to fine, like the airlines.
R. : it is not only luggage in the cabin, but also the charge for selecting seats to sit next to children or dependents, opacity in prices, charging for reprints of boarding passes… Abusive and illegal practices. In Spain no company is above the law and there can be no business model based on abusive practices. The companies have the right to appeal, but the facts contradict their arguments: since they began applying these practices, they have earned stratospheric amounts of money, and the price of tickets has risen 64% in the last two years, twice as much as the global average. They have built a business model on illegal practices and now threaten to raise consumer prices even further: I suggest they adjust their profit margins. Spain is the first country that has concluded a sanction like this.
P. An investigation has also been launched into unlicensed tourist flats.
R. We are investigating abusive practices in the housing market and the principle is the same: you cannot do business at the expense of violating consumer rights. We are investigating both unlicensed tourist apartments and large real estate agencies, which charge fees for renting an apartment. [algo prohibido]for disproportionate deposits and for fraud in the use of seasonal contracts. The tourist apartment business is based on practices that may be illegal or abusive.
P. Agencies say the number of tenant complaints is anecdotal. Isn’t it because they don’t have channels to do it? Is there data?
R. There is a general feeling of lack of protection among citizens in the face of many of the abusive practices in the rental market. He and [la asociación de consumidores] Cecu have launched complaint mechanisms. The regional consumer authorities should be involved. The Ministry of Consumer Affairs can intervene only in areas where there is a fraudulent or abusive situation that affects several communities or the digital market. But we are going to act with total force whenever there is a violation of consumer rights. After the airlines, in housing we are going to pursue any business model based on the violation of consumers.
P. What other sectors are being investigated?
R. There is an open campaign about false discounts in electronic commerce and another about covert advertising of influencers in digital environments. We have issued an information circular that will give rise to actions for the collection of irregular charges and commissions in the sale of tickets for concerts or shows. And we have ongoing performances on practices.
P. They have approved a decree to prohibit. Could it not be prohibited in general?
R. Yes, it should be a matter subject to regulation. It is complex due to community regulations, but it is evident that these systems have given rise to situations of abuse. The decree has to do with preventing, in an emergency, automated systems from taking advantage of this situation of risk of vulnerability to artificially inflate benefits. The entire digital economy sector requires deep democratic regulation and intervention.
P. And the housing one? Prices, in general, are skyrocketing.
R. We must intervene in the housing market, for the working majorities in Spanish cities. Housing is acting as a wealth vacuum cleaner. All the effort that the Government has been making for six years to redistribute wealth is being absorbed by a market governed by speculation and rentism, a market that does not create value, that only extracts it. The housing law must be applied, rental prices capped and speculative purchases prohibited in stressed areas. And pursue businesses based on abusive practices. The housing market must be politically intervened and the time to do so is The alternative to the extreme right is the social State and budgets that intervene in the housing market and attack poverty and inequality.
P. So, do you trust the Government to approve the 2025 budgets?
R. I think there are going to be budgets and that they are going to be social budgets. They have to address the problem of housing and the expansion of social rights and the Welfare State. We propose a universal parenting benefit to fight against child poverty, remuneration for parental leave, care leave, and the expansion of dependency spending. paves the way. It is a legislature with a complex parliamentary majority. But with an important effort of dialogue and negotiation we are moving towards that objective.
P. Would you define the approved fiscal package as weak? Many proposals have fallen through.
R. I define it as positive. that is moving in the right direction. It is clear that for us this is limited progress. It is necessary to move forward on the path of more progressive and ambitious taxation. , such as the taxation of tourist apartments, SOCIMIs, private health insurance, private education, luxury goods, green taxation. But it is a step in the right direction, and I believe it provides sufficient fiscal space to propose ambitious budgets in social matters.
P. Can any of those measures that you miss be included in the budget negotiations?
R. Tax reform is not the end of a process, but a stage. It is not even an ideological or political question. Europe faces enormous challenges of digital, technological, and green transition, and public resources derived from tax and tax capacity are needed.
P. What fiscal measures are a priority for Sumar?
R. Several. But for me, for what concerns me and what I’m working on,. I think it’s common sense. Among other things, because it introduces an element of unfair competition. How is it possible that hotels that offer a series of services pay a 21% VAT and tourist apartments do not? It is an issue that will end up being incorporated sooner rather than later.
P. There is a pending sustainable consumption law that will. How is it going?
R. It is in development. She is very ambitious. It seeks to set the conditions from the point of view not only of consumption, but also of production and distribution. The ecological transition cannot depend on a series of individual responsibilities of consumers. An important part is the transposition of three major European directives. I trust that next year we will complete the process.
R. Repsol announces renewable fuel, but we don’t know what it uses. Is greenwashing?
R. Therefore, regarding the particular cause I must be cautious. Regarding the general situation, now with the regulations we have, it is illegal and illicit to resort to false statements about the ecological and sustainable nature of goods or services to try to obtain economic benefits. In fact, the ministry is going to sanction him.
P. Is the decree to regulate the advertising of unhealthy foods for children going to be approved?
R. Before that comes the elaboration of the text whose text is already ready. It seeks to guarantee equal access to a healthy and balanced diet for all boys and girls. It cannot depend on the neighborhood in which you live. Next, aimed at children. The industry’s self-regulation model has not worked. There is a broad scientific and civil society consensus.
P. Consumption investigated the covert advertising of influencers. Is it still being done? Will there be sanctions?
R. We did one and discovered that a high percentage were violating the regulations. Being a pioneering initiative in a sector in formation, it was informative in nature. We address these figures reminding them of the current regulations and their responsibility. Now we are monitoring and the following interventions will be in a sanctioning manner.
P. How are they going to get it back?
R. He knocked down the part that had to do with advertising on social networks, the use of celebrities and welcome bonuses, aimed especially at the youth audience. We are going to recover it and we are going to go a little further including, for example, [cajas sorpresa que se venden en los juegos]. Yes, there has been a recovery of practices [publicitarias] prohibited. That is why it is urgent that we recover it as soon as possible within the normative range that the Supreme Court indicated to us. [como ley].
P. Sumar’s results in the last regional and European elections have not been as expected. Next, how does all this affect the brand and the political project?
R. The essential thing has to do with the results we achieve. I’m not saying the electoral ones. The people who voted for us and, in general, the left-wing people in this country want to see results, improvements, social achievements. To the extent that in the Budgets we manage to take these steps, we will retune with an important part of or disaffected.
P. Has your training taken place in the ?
R. I believe that the political effects were immediate and that the most important commitment that was made and that must be maintained is to create all the necessary tools to prevent this from happening again.
