BoT 598
Business over Tapas
A digest of this week's Spanish financial, political and social news aimed primarily at Foreign Property Owners:
Prepared by Lenox Napier. Consultant: José Antonio Sierra
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September 4 2025 Nº 598
Editorial:
The terrible fires that have burned some 400,000 hectares (about 1,550 square miles) are now extinguished thanks to some sterling work by the firefighters, with help from other regions and even other European countries. Bravo! Fierce rain also made a welcome but slightly late arrival in the north over the weekend.
Bringing the danger home to my corner of Spain, our nearby municipality of Lubrín (Almería) lit up the sky on Thursday last week as 400 hectares burned in a scrub fire.
We saw those large yellow water-planes repeatedly flying over us to load in the Garrucha harbour. All very scary.
Fire-prevention is the key lesson to be learned. In other times, the country-folk would clean out the mountains (if nothing else, at least for firewood). Goat-herders and hunters would be present, helping in their different ways.
Now everyone has moved to the cities: better jobs, more nightlife and a Corte Inglés for that shopping thrill. A quote from a more substantial organ than my humble newsletter: ‘…the exodus of farmworkers to cities in recent decades "has created vast areas of flammable scrub on abandoned land"’.
The PP leader Feijóo feels that the answer to the fires in Spain lies in putting ankle-bracelets on every person that would feature on a proposed list of registered arsonists. The more likely cause, global warming, is still a step too far for conservatives (a bit like the school shootings in America: it’s pretty damn obviously the availability of guns and not the video games). From El Mundo, we read that a proposed deal by Sánchez to form a united front against national disasters has flown too close to the sun: ‘The PSOE and the PP dismiss the possibility of a State Pact on climate change to prevent wildfires. Sánchez's party accuses the Partido Popular of "institutional disloyalty," while Feijóo's party criticizes the government for using the "wild card" of climate change to "evade responsibility"’.
How anything and everything in Spain is political; and Feijóo’s only driving interest is to somehow make it to the top before he is defenestrated by those bunching up behind him (Ayuso, Moreno, maybe Mañueco and others).
The larger fires occurred in three regions – all controlled by the PP. These were Castilla y León, Galicia and Extremadura. Apparently, during the winter season, none of their agents managed to participate in the Government’s working group to define the inventory of firefighting resources, nor did they attend any of the eight meetings with Civil Protection last year, where the number of available resources must be detailed for coordination of their use in emergencies’. The idea was – let the central government handle it, until the first fire roared into life. The minister Margarita Robles was called to explain herself in the PP-dominated Senate: "The work of prevention and preparation corresponds to the autonomous communities. What happens is that it is more convenient to do nothing throughout the year".
So now, as the political season returns once again after the summer hols, the usual angry (and largely pointless) fighting will be, as usual, in earnest in the Spanish parliament.
In the hope that the building’s fire extinguishers have been checked.
…...
Housing:
The Corner brings ‘Home sales in Spain accelerate in June: up 5.9% year-on-year compared to 2.0% drop in May’. We read ‘According to notaries, the number of sales reached 68,128 transactions in June, representing growth of 5.9% (year-on-year) compared to 62,587 transactions in May (a drop of 2.0%). The average price per square metre stood at €1,906/m² in June, representing an increase of 8% year-on-year...’
From LaSexta here: ‘Housing figures: 85% of new mortgages are for people who already have at least one. According to a study by the Association of Financial Users (ASUFIN), only about 14% of mortgages purchased in Spain are for people buying their first home’.
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Tourism:
ABC has ‘Tourism slows, edging away from the 100 million foreign visitors for 2025. Sector alert due to the decline in German and French arrivals and the freeze in British travellers’. The article says that there were certainly more foreign tourists this summer than last year, but not enough more to reach the fabled hundred million goal by year’s end.
From InSpain News here: ‘The Spanish Economy beyond Tourism: An overview of the key contributors to Spain's economy’. It begins – ‘Spain is often defined by its thriving tourism sector, but the country’s economy is far broader and increasingly dynamic. With one of Europe’s fastest growth rates in 2024 and a GDP exceeding €1,600 million, Spain is reshaping its economic profile through green energy, advanced technology, and new investment strategies. EU funding, tax incentives, and structural reforms are driving this diversification. However, challenges such as climate change and rural depopulation remain’.
elDiario.es has: ‘Catalonia loses tourists while Barcelona is breaking its record and remains the most visited city in Spain. Although more people have visited the Catalan capital, hotel and accommodation data have decreased compared to previous years, resulting in a decrease in daily spending’.
RyanAir, our far-from-favourite carrier, has ordered staffers to be on the lookout for over-large hand luggage, with the prospect of a 2,50€ reward for each passenger inconvenienced. Later, and cutting into the staffers’ pin money, we read: ‘RyanAir eliminates one million seats in Spain and stops flying to Vigo, Valladolid, Jerez, and Tenerife North. RyanAir follows through on its threat. The airline that carries the most passengers in Spain is eliminating one million seats and 36 routes for the upcoming winter season (from late October to late March) at Spanish airports due to "excessive" fees and the lack of competitiveness in these infrastructures, which it blames on AENA...’. Both items come from 20Minutos.
From The Olive Press here: ‘The Costa del Sol port town of Motril is ramping up its campaign to become Spain’s cruise ship capital by hosting a major international industry summit this October. The Andalusian town of just 60,000 people has been making waves in the cruise industry, welcoming over 60,000 cruise passengers last year but hoping to quintuple that figure by 2027…’
The Express is back with its vitriol: ‘Holiday hotspot loved by Brits bans 10,000 tourist lets - 'not designed for visitors'. It follows widespread protests across the country to fight against overtourism’. We read that Málaga has closed down a number of Airbnb-style apartments.
…...
Finance:
The Government has plans to go ahead with cutting the debts held by each autonomous region to the State by up to a total of 83,250 million euros (leaving them free to spend on other – more pressing – things than on interest repayment). The quita de la deuda was one of the conditions of support for the investiture of Sánchez by the ERC party, although 7 out of every 10 euros would go to the benefit of PP-run regions. 20Minutos here has- ‘The communities that will benefit most from the debt relief approved by the Government on Tuesday’. Andalucía would save a mighty 18,791 million. However, each region must ask for the favour. Inevitably, we also find from 20Minutos here: ‘The Partido Popular guarantees that its regions will not request debt relief’. The PP says that it is merely moving the debt from one pocket to another, although the amount pencilled in for their regions is (would be) some 60,000 million euros in all. Funny though, says Público, only last November 2023, Andalucía’s Moreno was asking the Government for precisely this operation. Understandably, the Government is feeling confident – says El Huff Post – that the regions will submit.
Left Foot Forward says ‘Pro-immigration policies and green energy adoption behind socialist Spain’s burgeoning economy. Spain's welcoming and liberal approach to immigration is paying economic dividends’. It begins – ‘Spain’s economy is outpacing its European neighbours, with GDP expected to grow by 2.5 percent this year, far surpassing the economies of Italy, France and Germany, which are poised to expand 0.7 percent, 0.6 percent and 0 percent respectively … So, what’s driving this exceptional growth in Spain, which is governed by a left-wing coalition under socialist prime minister Pedro Sánchez? A key and often underappreciated factor is immigration…’
El Periódico brings ‘Spain, the country with the highest unemployment rate in Europe, is beginning to have provinces with zero unemployment. "España Vacia" and some regions with a long industrial history are now entering the so-called "full employment" stage, that is, a residual unemployment rate where anyone who wants to and can work does so’.
The Yoigo mobile telephone network has gone dark following the merger of MásMóvil with Orange into MásOrange. 20Minutos has the story.
…...
Politics:
El Independiente says: ‘The political year begins with the courts cornering Pedro Sánchez’. There’s more to learn about Santos Cerdán (the imprisoned ex-nº3 in the PSOE), plus Pedro Sánchez wife who has been under (fruitless) investigation by Judge Peinado for the past fifteen months…
‘The PP begins its comeback effort after an "August Horribilis". The PP leader has not had an easy summer, even though back in July the Government was badly shaken by the "Cerdán case". The PP now has dark clouds reappearing over its past, with the emergence of the "Montoro case," and over its future, following the resignation of party spokesperson Noelia Núñez for lying about her academic achievements’. Furthermore, the summer fires in three PP-run autonomies were seen to be inefficiently resolved and the Torre Pacheco issue (street fights against the immigrants) in Murcia, another of their autonomies, also raising issues. Público has the story here.
El Mundo warns the PP about the drift of supporters towards Vox: ‘The PP barons demand that Feijóo take a tougher stance against Santiago Abascal to win back the youth vote: "If not, Vox will torpedo us". They agree that the party must increase its confrontation with the right to stem the flight of voters’.
With the beginning of the political season, the largest issue is the 2026 budget. It won’t be easy, says El Huff Post here: ‘Sánchez, facing the decisive budget negotiations: "We will do everything we can". The Moncloa (the presidential home) maintains that he will present the accounts while Podemos fuels the argument for early elections. "What's coming will be very tough for Sánchez," the PP predicts’. The Corner says: ‘…The political season is now beginning. It is the eighth year of the PSOE government, in a coalition with the communists of Sumar. It’s an impossible government that requires parliamentary support ranging from the extreme left to the nationalist and pro-coup Catalan far-right. A majority that only shows itself to be solid, like cement, in its determination to prevent the PP from governing. But it is unable to agree to approve a budget—the government is operating with the 2023 budget, from the previous legislature—or to pass many of the laws—more than 40—that are stalled to avoid giving the government more parliamentary defeats…’
So, what’s with Podemos? Well, they’d like a return to ten years ago when they had 69 deputies instead of today with just four: Ione Belarra, Javier Sánchez Serna, Martina Velarde and Noemí Santana. Unfortunately, Podemos is at odds not only with the PSOE, but also with all the other far-left parties – Sumar, Izquierda Unida, ERC and EH Bildu. If Pedro Sánchez were to call elections, the winners, whether PP/Vox or some other more progressive grouping, certainly wouldn’t be Los Morados (the purple party). Their time has passed.
‘Spain has tripled its defence spending since Sánchez came to power. The government has gone from allocating 11,172 million in 2018 to 33,123 million this year, according to NATO. Both the war in Ukraine and pressure from Trump have boosted spending. Spain now spends 2% of its GDP on defence’. Item from 20Minutos here.
Pedro Sánchez was interviewed on Monday night as seen on TVE1 (and elsewhere).
Quotes from RTVE here (with videos):
"It's clear that the climate emergency is surpassing all the scientific evidence we have so far."
"When there has been even the slightest hint of corruption, I have acted ruthlessly."
"There is a lack of consistency in opening a trial against the State Attorney General."
"I defend the honesty and innocence of my family. There are judges who don't follow the law." (The main criticism over the interview comes from this remark)
"It's funny to hear the opposition championing failed formulas. The law of supply and demand doesn't work in the housing market."
"I'm not Catholic, but I listen to the Pope. What's this about going to Mass and then asking for the Open Arms to be sunk?" (Abascal says the aid ship should be scuppered)
"Let's stop the insults. 'Me gusta la fruta' is what we need to banish from politics. I don’t insult the opposition" (Ayuso once said ‘hijo de puta’ regarding Sánchez, then she explained, I meant ‘Me gusta la fruta’, which has now come down to a popular saying)
-Headlines from other sources:
El Español: Sánchez: "If the House rejects the Budget, I will continue with my policies. An election would only paralyse Spain."
20Minutos: Sánchez attacks the "minority" of judges who "play politics" and defends the "innocence and honesty" of his wife and brother.
elDiario.es Sánchez: "There are judges playing politics and doing immense damage to the justice system."
Feijóo rejects any interview with Pepa Bueno (the journalist who received Pedro Sánchez on Monday) and will continue to avoid setting foot on a TVE stage says El Debate here.
…...
Catalonia:
‘The Catalan president Salvador Illa and former head of executive Carles Puigdemont met for the first time in Brussels on Tuesday afternoon. This is the first meeting between both leaders since Illa took office in August 2024’. No public declarations were made immediately afterwards. The story is at Catalan News here.
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Europe:
‘Spain proposes in the EU the suspension of trade relations with Israel to force peace. The government advocates "continuing to expand sanctions against those who want to make the two-state solution impossible, as there are some in both places"’. From La Vanguardia.
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Immigration:
Illegal immigration, whether waving a St Andrew’s flag in the UK, the Reich Flag in Germany, or here, the Spanish rojigualda (Wiki), (preferably, the old-fashioned one with a black eagle on it). Most of this is symbolic, says The Guardian here: ‘‘Citizen patrols’ and self-styled protective forces are fuelling social fears and the far right, say experts’.
The Open Arms (Wiki) is a charity that helps to patrol the seas on the lookout for imperilled immigrant boats. Last week, the Vox leader Santiago Abascal criticised the activities of the NGO, demanding that "their slave ship must be confiscated and sunk" and suggested that this method would serve as "a warning of the end that awaits all the billionaires and politicians who promote the invasion of Europe". A spokesperson for the Open Arms answered Abascal with ‘To be an object of hatred from such a person is a distinction, and here we are’.
The Canarian President Fernando Clavijo responds to Abascal: "He's a genuine fascist."
The Transport Minister Óscar Puente responds to Abascal: "No one can say that he hides in even the tiniest way how fascist he is."
Pep Guardiola paid for the repair of the Open Arms ship out of his own pocket. The famous Manchester City manager paid 150,000 euros for the vessel's proper maintenance’.
A right-wing joke on Twitter here.
From El Mundo here: ‘Vox threatens the stability of six PP governments with the immigration issue. The Partido Popular barons will have to make concessions on immigration to Santiago Abascal's party to ensure peace in their executives until the next elections’.
‘Andalucía to take between 600 and 800 of the young unaccompanied migrants who have arrived in Spain. On a recent visit to Málaga province, the head of the Junta argued that the Basque Country and Catalonia have taken very few, while he also called for harsher sentences for arsonists and greater transparency on the future of the border with Gibraltar’. From Sur in English here. But then, ‘The Vice President of the Government and Secretary General of the PSOE-A party, María Jesús Montero, says El Correo Gallego, has asked the Andalusian Regional Government, Juanma Moreno, for an explanation after the Lehendakari, Imanol Pradales, stated that the Basque Country is receiving buses carrying migrant children from Andalucía. "How is it possible that children under the guardianship of Andalucía are arriving in the Basque Country?" the minister asked…’
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Health:
The Junta de Andalucía is becoming known for investing in/with private health companies at the expense of the public system. From Espacio Andaluz here: ‘The Juanma Moreno administration has unblocked a €533 million macro-contract with 38 companies and 50 private clinics to provide healthcare services starting this September’. We read: ‘…The initiative is the latest favour (and the most important in the history of the autonomous region) from the Junta to private healthcare, which since 2020 has accumulated enormous sums awarded through tens of thousands of minor contracts (a formula whose legality and legitimacy is currently being reviewed by two Andalusian courts of justice due to the so-called "trama del SAS") and through the fragmentation of contracts into chunks of under 30,000 euros each, thus managing to circumvent the rules for large investments’.
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Corruption:
From El Plural here: ‘The activist who is putting Judge Peinado on the ropes has filed a further complaint against the mayoress of La Adrada (Ávila). María del Pilar Martínez Segura has already been reported to the Ávila Prosecutor's Office regarding the judge's villa in the municipality’.
As we know, Rajoy’s Minister for the Treasury Cristóbal Montoro’s deep pockets were fed by his agency called Equipo Económico. Here’s elDiario.es: ‘Organizations and companies controlled by the People's Party (PP) paid at least €5.2 million to the firm founded by Cristóbal Montoro. Notable among these were the Community of Madrid, Red Eléctrica and the Xunta de Galicia, then headed by Alberto Núñez Feijóo. The Partido Popular itself also paid, with €42,120 to the Equipo Económic and its successor Global Afteli’. These figures, say the investigators, are not yet complete.
…...
Courts:
‘The judge investigating the Valencia Dana tragedy complains that she is suffering a "smear campaign" of "atrocious machismo" to overturn the case’. elDiario.es has the story.
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Media:
From Diario Red: The Diario Red journalist Román Cuesta is beaten by far-right extremists outside his home (with video) here.
These are the far-right extremists who are applauding the attack against Diario Red journalist Román Cuesta.
The three were later briefly arrested by the Guardia Civil.
‘What happened’, says Diario Costa, ‘goes beyond the assault itself, however serious it may be. The fact that the attackers themselves recorded the attack and subsequently shared it on social media reveals an intention that goes beyond personal harm: they are seeking intimidation. They intend to send a clear message to other journalists doing similar work: "This is what can happen to you if you keep investigating"’.
From El Huff Post here: ‘28% of the fake news items (bulos) about the October 29th floods in Valencia either originated from or were spread in the "serious" press. A study by the University of Valencia indicates that three out of four lies about the tragedy were false content intentionally created to deceive’.
The Guardian interviews Pedro Sánchez here.
TelePedro – as the PP now call the national television RTVE. TeleMadrid meanwhile analyses the Monday night interview with the help of four right-wing talking heads.
‘The parallel reality of Castilla y León Television – while the regional president Mañueco appeared in Parliament: viewers were treated to toros, countryside, and competitions. The publicly funded channel failed to broadcast live the appearance of the president of Castilla y León to analyse the situation caused by the forest fires in the region’. From elDiario.es here.
Found at El Plural here. The Conservatives don’t like the opinions of the national TV journalists. The PP has made it plain that they won’t last long under a new regime. The article mentions Sarah Santaolalla, Silvia Intxaurrondo, Javier Ruiz, Jesús Cintora, Xabier Fortes and David Broncano.
Note: The TV in Spain is either public (regional and national channels), or private. The private ones, being for-profit, are mostly conservative in content. The public ones reflect their masters’ politics. Thus, Canal Sur or TeleMadrid are conservative, while the TVE is a bit more progressive.
Vox only has one strategy (cartoon).
…...
Various:
Greta Thunberg and Ada Colau with others set sail with the flotilla leaving Barcelona for Gaza this Sunday (later leaving on Monday after bad weather).
‘Spain will deploy diplomatic protection for the new flotilla to Gaza. It is "the largest solidarity mission" with Gaza to date, with the participation of 44 countries and the support of international activists and artists’, says Crónica Balear here.
From Europa Press here: ‘Israel's security minister warns that he will treat the flotilla activists as "terrorists"’.
While most of Spain has a generally poor view of ongoing events in Palestine, the ‘City Hall of Madrid approves awarding Israel its municipal Medal of Honor at the request of Vox and amid the Gaza invasion. The proposal, supported by the majority PP and voted against by the PSOE and Más Madrid, is pending ratification. In a subsequent vote, right-wing parties avoided condemning the "indiscriminate bombing" of the Jewish nation’.
The entire history of Spain in eleven minutes: on YouTube (in English) here.
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See Spain:
Now that the place has settled down after the August madness, here’s an introduction of mine to Mojácar at Spanish Shilling (my blog).
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Finally:
Hevia with Tanzila (Hevia has a concert in Jumilla on September 24th) on YouTube here.
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