Speech by the President of the Government of Spain, Pedro Sánchez, at the Bloomberg Citylab 2026 forum

SPEECH BY THE PRESIDENT OF THE GOVERNMENT OF SPAIN, PEDRO SÁNCHEZ

Dear President of the Teatro Real, dear Gregorio, founder of Bloomberg Philanthropies, mayors, authorities, ladies and gentlemen, welcome to Madrid.

Good morning. It is a pleasure to be with you in the capital of this great country that is Spain.

You see, in 1973, when I was just one year old, a European city did something that forever changed the course of history.

Picture this: 1973, at the height of the oil crisis as a consequence of the Yom Kippur War. Humanity became aware for the first time of its excessive dependence on fossil fuels and the impact this dependence had on geopolitics, on the geopolitics of their supply.

Cities around the world suddenly had to face a tremendous crisis caused not only by the rise in oil prices, but also by fuel shortages. Many capital cities came to a standstill, but others, like Copenhagen, Denmark, decided to take action.

There, a courageous city council implemented what were then called "car-free Sundays." An unprecedented measure, implemented precisely to save fuel. And what initially seemed like an emergency response became a foundational act of modern urban planning.

The streets, empty of cars, revealed something very important: not only was the city functioning, but it was functioning better. It was therefore an unintentional demonstration that urban space could be organised differently.

If I refer to this case, mayors and other authorities, it's because we can draw two lessons from it that I'd like to share with you all.

The first is that every crisis can present an opportunity. I know that saying this might sound like a cliché, but given that we've been facing one crisis after another for several years now, it's always worth keeping this in mind.

And in this regard, I want to say that what we in the Government of Spain do is apply this principle and make it a reality: from every crisis, however big it may be-and we have already had, and are still suffering from, quite a few-we always see an opportunity within it.

The second lesson, which speaks very directly to this forum, is that there is no better, more valuable, laboratory of opportunity than the one offered by cities.

Because cities no longer just manage local affairs. They also act, they determine the course of global events, and therefore, they transform our societies.

Just look at the data: in 1950, cities were home to barely 30% of the world's population. 30%! Today, it is 55%. And by 2050, more than two-thirds of the population will be concentrated in urban areas. In other words, to put it in absolute numbers, we are talking about 7 billion people. That is, the same number of people our planet had just 15 years ago.

And it is in cities where the greatest challenges to the well-being of our citizens are concentrated, but also where the greatest opportunities to improve it lie.

And that is why today I would like to focus on three essential aspects where cities not only have a key role, but can and should lead. Three dimensions that have been very present in this forum and to which I would like to add my voice.

The first, which has already been mentioned, is undoubtedly the green transition, the energy transformation. Cities occupy less than 2% of the planet's surface, less than 2% of the total surface area of the planet, but they account for 75% of global emissions. 2%/75%. Therefore, adaptation, mitigation, and the fight against climate change are first waged on our streets. That is the battlefront.

And here many Spanish cities are an example to follow. They begin by decarbonising everyday life: clean public transport, low-emission zones, and efficient buildings. This is the path, for example, chosen by Vitoria-Gasteiz, in northern Spain, in the Basque Country, which was the European Green Capital in 2021. It is an international benchmark for its green belt, its sustainable mobility, and its management of an increasingly scarce resource: water.

They also do so by renaturalising urban spaces. Cities that lower temperatures, improve air quality, and protect their citizens from the unfortunately increasingly frequent heat waves. Cities like Pontevedra in Galicia and Barcelona in Catalonia.

Pontevedra, in particular, is putting urban space at the service of its people and greening all its environments. And Barcelona, with its superblock model, has returned space to pedestrians, green areas, and neighbourhood life, which is so often missed in large cities.

Three cities, therefore, three models, but the same objective and the same message. The fight against climate change is not just a global agenda, but a local commitment. In fact, I am proud to say that Spain is among the top countries with the most cities participating in the European NetZero Cities initiative, which includes more than 100 cities across our continent.

I believe this leading position is the result of aligning national policies with local action, even as some try to hinder this ambition. And, unfortunately, this is happening as a consequence of the formation of governments that deny the effects and nature of this climate emergency. This is the alarm we are also facing, unfortunately, in Spain.

The second area where cities are called upon to lead has also emerged, I believe, in this forum: housing. Without a doubt, housing is the main cause of inequality, at least in Spain. More than 60% of inequality in Spain is explained by the inability of many of our fellow citizens to access housing.

As a result, Europe is experiencing a deep crisis. Speculation is driving families out of neighbourhoods, turning city centres into theme parks. It is literally destroying the identity of cities. The soul of cities.

Capital cities like Madrid, Budapest, and Lisbon have families who, according to European data, spend more than 70%-I repeat, more than 70%-of their income on housing, something that is undoubtedly a source of social injustice and, understandably, of discontent among our fellow citizens.

And there are two ways to deal with this. There is a dilemma that must be resolved: look the other way or intervene in a market that isn't working. And we have decided, also at the national level, to intervene in a market that isn't working.

In 2023, we launched the first Law of the Democratic Right to Housing, as a clear tool. In a composite state like Spain, very similar to a federal state like the United States, for example, regional governments are responsible for housing matters.

And thanks to this new law, they can declare areas as "stressed zones." What does this allow? It allows cities to act sensibly on prices, without, of course, harming landlords. And it gives these governments tools to boost the supply of more affordable housing.

But there is one condition: the willingness to implement this Right to Housing Law.

Barcelona, for example, did so, and the results speak for themselves. Since 2024, the price of new rentals has fallen by 2.7%. Cities like Pamplona, Bilbao, and A Coruña have followed suit, and we expect them to see similar effects.

On the other hand, where it isn't implemented, prices rise uncontrollably. Where action is taken, where there is intervention in the market, there are results, and where there isn't, the problem worsens. It's that simple. That's why I believe it's important to apply all the tools we have at our disposal as a government to address the biggest housing crisis Spain is experiencing, and of course, the one across Europe as a whole.

The third area where cities are called upon to lead is openness. I maintain that Spain is an open country and that the dilemmas and choices we face in the world are whether we want open and, therefore, prosperous societies, or closed and, therefore, impoverished societies, especially in Western societies, where we are suffering a demographic winter as a consequence of declining birth rates. Therefore, cities are called upon-you are called upon-to lead the way in openness, in the integration of this diversity, in welcoming newcomers, and in fostering the dynamism that all of this generates

In short, we are talking about cities being the main arena on which we must decide what kind of society we want to be: a society, I repeat, that is open, rich, and prosperous, or a closed society, and therefore impoverished in its one-dimensionality.

If you will allow me the analogy, if our planet were a human body, cities are and will be its vital organs. Those things that not only allow us to continue living, but also define what kind of beings we are or want to be.

That is why today I would like to especially recognise and celebrate what have come to be called Sanctuary Cities, those that, despite the enormous pressures they are under, say "no" to injustice, say "no" to discrimination and persecution. Courageous cities that have raised their voices. Because cities are the first door that opens to those who need it, to those who have a life project, to those who want to experience and create. The first place where someone arrives and the first place where someone wants to start over.

That, therefore, is where everything is measured. That is where everything is measured. It measures our capacity to integrate, our capacity to coexist, to create, to imagine. And, above all, what is measured is our degree of humanity, of humanity.

We saw it in 2015, during the war and crisis in Syria: while many hesitated, many cities stepped forward. Madrid, Barcelona, Lesbos, Lampedusa ....

They launched what was called the Refuge Cities network.

Today we are once again facing a decisive moment in Spain. Those mayors and other authorities who come from other parts of Europe and the world know that we have begun a process of normalisation, of recognising the rights of migrants already living in Spain.

And we must also recognise that they are our neighbours, and that, therefore, by acknowledging their rights and obligations-because all citizens have rights and obligations-what we are doing is fostering their integration and, consequently, strengthening our societies.

Cities must, therefore, champion this process of normalisation, of embracing diversity, and also of recognising it as a source of wealth, prosperity, and dynamism. Because history teaches us that cities are the first to enrich themselves and benefit from this integration of diversity.

In conclusion, here today is Mike Bloomberg, the inspiration and driving force behind this meeting, to whom I express my gratitude, of course, for his leadership of this multilateral forum for mayors.

Mike, you once said that after years of creating companies, after building an entire empire, nothing had prepared you for being the mayor of New York, which was, by far, the most difficult job you had ever done. And I am convinced that there are many mayors here who can share this sentiment.

I certainly believe you, and I believe that everyone in this room undoubtedly understands you. Because governing a city is not just another task; it is an extremely demanding and complex one, in many cases, almost heroic.

Today, even more so. In a time of confrontation, of polarisation, where the values that cities have always represented-which I mentioned earlier: openness, progress, coexistence-are being questioned. And not by minor players, but by very powerful ones.

Faced with these challenges to the identity and character of cities, I believe we need mayors like all of you: brave and committed. Mayors who follow the example of a great mayor of Berlin, 65 years ago, who later became chancellor, named Willy Brandt.

Willy Brandt used to say that on the night the Berlin Wall went up, he was out of town. But as soon as he heard what was happening in his city, he took the first plane back to Berlin.

He knew there was nothing he could do. That there was nothing he could do to stop the madness. But he felt that his constituents needed to see their mayor there, on the street, on the day the wall was cutting a great city like Berlin in two. In that case, it wasn't just about solving problems, but about being there. About being there, with his people.

I ask this of you: that you continue to lead from a place of closeness, always standing by your constituents, regardless of how long they have been registered residents or their country of origin, and always using the best tool we have, which this initiative highlights: knowledge, evidence, and science. In short, that which makes us worthy. That which makes us human.

That is all, thank you very much.

(Transcript edited by the State Secretariat for Communication)