Spain's minority government under Prime Minister Pedro Sánchez faces ongoing parliamentary fragility after losing key housing decree votes in early October 2026, prompting Sánchez to dissolve the Cortes and call a snap general election for November 29. Opposition parties, led by the People's Party and Vox, passed a non-binding June 2026 resolution urging resignation over corruption investigations involving associates but have not advanced a formal no-confidence motion, citing insufficient votes without broader support from regional parties like Junts. Sánchez's coalition erosion, including Junts's withdrawal from legislative backing, combined with left-wing fragmentation ahead of the election, has shifted focus from parliamentary maneuvers to the ballot. Traders assess near-term no-confidence prospects as limited absent new alliances or scandals before dissolution takes full effect.
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