Spain’s pension bill has risen 60% since Sánchez took office

Spain’s pension bill has risen 60% since Pedro Sánchez took office in 2018, as the country’s pension system faces growing costs.

Monthly spending went from just over €9 billion in June 2018 to nearly €14.5 billion in September 2026.

The system now pays more than 10.5 million contributory pensions, up from 9.6 million eight years earlier.

Payments have also increased as pensions have been raised in line with inflation since 2022, and newer retirees often have higher benefits than those leaving the system.

The budget watchdog projects €200 billion in pension spending for 2026 and warns that, without reforms, rising costs could mean less money for other public policies or more government borrowing.

The issue has become part of Spain’s election campaign, with parties offering different approaches to pension increases and the system’s future.

A future government may face choices over reform, other spending or debt, but the sources do not set out a specific next step.