Blogs and advice from Industry leading Specialists
Valuable Opinions, Comments & Gossip
Financial related News & Articles relating to Spain
Latest News, Stories
& Hot Topics
Various Tools & Widgets to help with your financial needs
Tools & Widgets to
help with finances
Polls, Surveys and Opinions featured throughout Tumbit
Featured Polls, Surveys & Stats
Discussions, Advice & Topical Chat
Discussions, Advice & Topical Chat

Spain now has less than 2 Social Security contributors for every claimant

Source: El Pais - Thu 31st Jan 2013
Spain now has less than 2 Social Security contributors for every claimant

The number of people in Spain receiving some kind of state pension exceeded 9 million at the start of 2013 for the first time ever, mainly due of Spain's ageing population.

This puts a further burden on the welfare system at a time when the government is striving to put the country's financial situation on an even keel.

According to figures as of January 1, released Tuesday by the Labor Ministry, the number of people receiving a state pension climbed 1.5% through 2012 to reach 9,008,348.

The biggest increase, of 7.3%, was for those entitled to an orphan's pension.

The biggest financial impact came in the form of a 2.0% increase in the number of people receiving a retirement pension, to 5,402,863.

The Social Security system posted its biggest deficit on record last year of €11.8 billion, around 1.0% of GDP, as a result of the increase in benefit payments and a drop in the number of contributors.

Unemployment hit 26% at the end of last year, while the number of people contributing to the system declined by 4.6% to 16.3 million.

As a result, for the first time ever, there are fewer than 2 Social Security contributors for every person receiving a pension.