Spain's Monthly Pension Bill Hits 14.5 Billion Euro Record

Spain's state pension system cost the treasury almost 14.5 billion euros ($16.2 billion) last month, a record high that has intensified political debate ahead of the general election next month. The figure underscores the growing fiscal pressure on a scheme that relies heavily on state funding.

Approximately 25,000 people marched in Madrid on Saturday, moving from Atocha station to the Gran Via to demand that pensions remain indexed to inflation. Organizers and participants cited fears that the incoming government might weaken these protections. Banners carried by the crowd read "protect and guarantee our pensions."

The system faces structural challenges, including an ageing population, low birth rates, and a declining ratio of workers to retirees. These factors have forced a shift toward greater state financing as monthly payments rise.

Prime Minister Pedro Sanchez accused the right-wing Popular Party (PP) of planning to dilute inflation-linked increases if it takes power. He maintained that the current model is affordable and pledged to maintain protections if he remains in office.

Alberto Nunez Feijoo, the PP leader, countered on Monday that his party would continue raising pensions in line with inflation. The dispute has become a key economic issue for voters deciding between the two main camps.

Emilio Delgado, deputy spokesperson for Mas Madrid in the Assembly of Madrid, added that no pension should fall below the minimum wage. He stated that a lifetime of work deserves a dignified retirement.