Protesters returned to Rossio Square to increase pressure on the minority centre-right government led by Prime Minister Luis Montenegro, Reuters reports.
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Organizers said several thousand people participated in the demonstration, although police did not provide an official crowd estimate.
The protesters oppose a government bill that would make tenant evictions easier and remove rent caps on new leases, arguing that the measures would further increase housing insecurity.
Portugal is experiencing one of Europe’s most severe housing affordability crises, with property prices more than doubling since 2017 and rents for newly signed leases nearly doubling over the same period.
Young people have been particularly affected by rising housing costs, while wages have struggled to keep pace with increasing living expenses.
The demonstration followed weeks of protests against housing shortages, rising rents and the government’s economic policies.
A week earlier, police cleared a protest camp established in Rossio Square, using batons against demonstrators and arresting dozens of activists.
The police operation sparked criticism from housing organizations, which accused authorities of using excessive force against peaceful protesters.
Rita Silva, a spokesperson for the housing movement Casa para Viver, said the latest demonstration reflected growing public determination to continue campaigning for affordable housing.
Speaking to Portuguese public broadcaster RTP, Silva said protesters were demonstrating perseverance despite weeks of mobilization over the housing crisis and rising living costs.
“We are not seeing any willingness from the government to listen … the demonstrations will continue,” she said.
The proposed rental legislation has already passed its first parliamentary reading after the far-right Chega party abstained from the vote.
Prime Minister Luis Montenegro has rejected demands to withdraw the bill but indicated that amendments could be considered before a final parliamentary vote in the coming weeks.
Socialist Party leader José Luís Carneiro has urged the government to negotiate with opposition parties and housing activists over the proposed changes.
Meanwhile, Interior Minister Luís Neves said the government recognized the legitimacy of public demonstrations but expected protests to be conducted peacefully and in accordance with the law.
The minister emphasized that demonstrators should act with order and civility as authorities seek to maintain public security.
Portugal’s housing protests come amid broader demonstrations across Europe, including in Spain, France and Germany, where rising property prices, rental costs and living expenses have fueled public dissatisfaction.
Housing campaigners in Portugal have pledged to continue their demonstrations until the government addresses their demands for stronger tenant protections and more affordable housing.
