The number of public employees has grown by 6.8% since 2019 and is at record highs, while the private sector is still one million short of its 2007 record. It is true that, taken together, public and private employment, the aggregate number of employed (20.18 million) does exceed the pre-pandemic number by 218,000. But it is public sector employment that has broken historical records and is 6.8% higher than before…
spain public works
Seopan, the employers’ association for the large Spanish construction companies, together with the engineering firm’s Tecniberia, have proposed a €100.428 Bn infrastructure investment plan. This could generate some 1.4 M jobs until 2026 with 2,277 actions in 10 macro-projects and 32 investment lines. All Spanish administrations’ tenders in public works fell by 31% to €12.7 Bn in 2020.
The lack of investment alternatives, coupled with the fact that prices and returns are good, are two strong enough reasons for people to take their money out of bank deposits and fixed income securities and buy property.
The government has designed an infrastructures and housing programme, but not one sector expert or professional believes that Spain will see a return to the level of public works investment of, for example, 2007. The PITVI (The Infrastructure, Transport and Housing Plan), in force until 2024, does not contemplate building large infrastructures but rather maintaining the existing ones.