pensions

pensiones playita

June pensions, at €25 billion, double €12 billion annual defence budget

In June alone, Social Security has had to spend more than double the amount the state devotes to the defence budget over the course of a whole year. In total, €25,171.5 million was spent on the payment of contributory pensions, as the €12,751.5 million paid out each month were added to the €12,420 million needed to pay the extra summer salary. The €25,171 million that the June payments have meant…


pensions spain

Spain goes into debt to fill the pension pot

Can you imagine taking out a loan to open a bank deposit? Well, that is what Spain is doing to fill the pension fund with 7 billion. Last year, the pension system needed to borrow 50 billion from the state to meet pension payments. This 50 billion shortfall is exactly 3.6% of GDP. And it is exactly the figure for the Spanish public deficit in 2023. But that is no…


pensiones playita

Spending on pensions reaches record €12,668 million in February, 6.2% up on February 2023

Social Security allocated a record €12,668 million to the payment of the ordinary monthly payroll of contributory pensions in February, 6.2% more than in the same month in 2023, according to the Ministry of Inclusion, Social Security and Migration, which reported on Tuesday. Following the rise in pensions in line with the CPI applied since the beginning of the year, the average retirement pension increased by 4.8% year-on-year in February,…


pensioners

Pensions to rise 3.8% in Spain in 2024

On Wednesday, the Council of Ministers approved a 3.8% revaluation of pensions for 2024, as a result of the average CPI recorded between December 2022 and November of this year. In addition to the general rise of 3.8%, minimum pensions will once again rise above this figure and, according to the new Social Security Minister, Elma Saiz, next year they will increase by between 5% and 14%. The high range…


pensiones playita

Spain’s pension spending reaches record €12,051 million in September, up 10.9%

Spending on pensions reached €12,051 million in September, 10.9% more, setting a new record. This is because, in application of the pension reform, pensions have risen by 8.5% by 2023 as a result of average inflation for the period December 2021-November 2022. Following the rise in pensions in line with the CPI applied since the beginning of the year, the average retirement pension increased in September by 9.5% year-on-year to…


pensioners

Different paths on pension reform in France and Spain lead to mixed results

Jakob Suwalski (Scope Ratings | France and Spain have enacted pension reforms this year to put their pension systems on a sounder financial footing and boost employment, but doubts remain about their long-term sustainability and impact on the economy, given their similar demographic trends. The content of the reforms is also different. France (AA/Stable) aims to rebalance its pension system by raising the statutory retirement age from 62 to 64…


pensiones playita

IEE think tank predicts Spanish businesses to pay highest contributions in Europe after Escrivá’s pension reform

Minister José Luis Escrivá’s recent pension reform will leave a public deficit of up to €22,000 million in the public coffers in 2023 alone, with its consequent negative effects on employment, growth and the competitiveness of the Spanish economy. This is what is stated in the latest report by the Institute of Economic Studies (IEE in its Spanish initials), which, under the title “La subida de las cotizaciones sociales (The…


pensiones playita

Fedea warns: pension reform “renounces any savings and will increase spending”.

The Fundación de Estudios de Economía Aplicada (Fedea) warned on Monday that the pension reform that is under way “condemns the contributory component of the public pension system to a basic deficit (before transfers) that will be “high and rapidly increasing over the coming decades”. After analysing the pension reforms as a whole (those already approved and the final phase that is now being negotiated), Fedea calculates that around 2050…


pensioners

Government and trade unions to meet today with employers’ NO to pension system reform proposals

The Government and social partners will meet again today at 4.30 p.m. to discuss the pending issues of the second phase of the pension reform following the proposal presented last Friday by the Ministry of Inclusion, Social Security and Migration, with the backing of the European Commission and Unidas Podemos. This is a reform that the employers’ association opposes head-on because it is “populist” and means “voracious tax collection”, given…


pensiones playita

1.1 pensions per pensioner: Spending on pensions soars to 11.902 billion in January, after rising in line with CPI

Spending on pensions has increased by almost 1,000 million euros compared to last December’s payroll and exceeds 11,000 million euros for the first time in history: 11,902 million. This is because, in application of the pension reform, pensions have risen by 8.5% by 2023, as a result of average inflation for the period December 2021-November 2022. In January this year, 10,009,149 contributory pensions were paid out, 0.9% more than a…