Portugal to reform business licensing to protect historical centers

The Portuguese government is preparing an exception to the ‘licensing zero’ policy to combat ‘facade shops’ in historical centers. Minister of Territorial Cohesion Manuel Castro Almeida announced that the upcoming Business Licensing Code will allow municipalities to designate specific urban areas—particularly those with high tourist density near national monuments—to be exempt from the simplified licensing regime.

This measure aims to protect traditional businesses with historical significance by allowing municipal control over commercial activities in these sensitive zones. The new code intends to consolidate business licensing rules, which are currently spread across 38 different legal documents, into a single, clearer framework designed to facilitate business openings while emphasizing ‘a posteriori’ inspection and oversight.