Portugal's Rental Support Program Faces Crisis: Ombudsman Reveals 'Serious Irregularities'
The Provedoria de Justiça, Portugal's Ombudsman's Office, has formally requested an urgent revision of the government's extraordinary rent support program. The policy initiative, aimed at alleviating financial pressure on tenants, has been the subject of a 'significant volume of complaints' that indicate 'serious irregularities,' according to an official announcement. The Ombudsman's office has directed its concerns to the Secretary of State for Housing, Patrícia Machado Santos, outlining systemic failures that require immediate government attention. The policy's objective was to provide automatic financial aid to eligible tenants, but its implementation has been fraught with problems.
The Ombudsman's analysis, prompted by approximately one thousand citizen complaints filed between May 2023 and July 2025, concluded that the legal framework of the support scheme was designed without adequate consideration for the fundamental rights and guarantees of its beneficiaries. The targeted outcomes of providing timely and reliable rent support have not been met due to what the Ombudsman describes as an insufficient capacity for coordination between the primary state agencies involved: the Institute for Housing and Urban Rehabilitation (IHRU), the Tax and Customs Authority (AT), and the Social Security Institute (ISS). This lack of inter-agency communication is a core component of the implementation failure.
The budget allocation for this program is significant, yet the report suggests public resources are not being used effectively. The implementation strategy has resulted in what the Ombudsman calls 'extreme morosity' in the delivery of payments. Citizens have reported long delays before receiving their first payment, and once payments commence, they often do not include the retroactive amounts owed. The IT platforms used for the program are described as 'fragile and inadequate,' further contributing to delays and a lack of clear information for beneficiaries. This has created a situation where citizens are passed between departments without resolution.
The affected population groups, who were intended to benefit from this state support, have in some cases seen their economic situation worsen due to these state failures, leading to a 'deep disbelief' in the program. The Ombudsman's report highlights that fundamental citizen rights, such as the right to information, notification of decisions, and a prior hearing before support is altered, have been consistently disregarded. The political support for the program's continuation until 2028 is now under scrutiny, with the Ombudsman arguing that its current structure is unjust and inefficient. The office is advocating for a complete overhaul to create a system that is fair, transparent, and accountable. Understand policy impacts on your Portugal property plans at realestate-lisbon.com.