Spanish Political Storm: What Was Canceled at the Beginning of the Year?

The new year started with storms in the political life of the country, and in the midst of January debates, Spanish politicians canceled a number of initiatives that were supposed to improve the lives of citizens. So, let’s break down exactly what was canceled and why this is causing concern.

Cancellation of Subsidies for Electric Cars and Entrepreneurs (Autónomos)

One of the most noticeable cancellations was the subsidies for purchasing electric cars. This bill was meant to help accelerate the transition to eco-friendly transport, reduce carbon dioxide emissions, and support the development of new technologies in the automotive industry.

However, contrary to expectations, it was not approved. Instead of stimulating demand for electric vehicles and supporting environmental initiatives, the government decided to cancel this law.In addition, the subsidies for autónomos—self-employed entrepreneurs—were also canceled. These subsidies were intended to help individuals engaged in independent business activities with tax reductions and other preferences. Now, entrepreneurs are left without support, which, in the face of economic instability, looks quite alarming.


Cancellation of Pension and Minimum Living Wage Increases

Another significant piece of news is the cancellation of pension and minimum living wage increases. Under the proposed bill, the government planned to raise social benefits for pensioners and increase the minimum wage to help citizens cope with rising prices and inflation.
However, this bill was blocked, and now the increase in these payments has been postponed, leaving many people uncertain.It’s no surprise that in response to these changes, concerned comments have been heard from citizens and social organizations who had already been counting on these improvements. And now, paradoxically, all these improvements have vanished into thin air.



Cancellation of Transport Subsidies and Discounts

The next point was the cancellation of transport subsidies and discounts. The reforms included significant tax benefits for citizens, as well as discounts on public transport. These measures were meant to support people who are struggling to afford travel expenses in the face of the crisis.
But these initiatives were also canceled, leaving those who face rising costs and transport expenses without support.Such cancellations undoubtedly affect social stability and have caused dissatisfaction among citizens who were hoping for improvements in their financial situation at the beginning of the year.


Problems with Compensation: Where to Seek Help Now?

When such laws are canceled, it creates not only problems with benefits and payments but also uncertainty about how to compensate those affected by these changes. For instance, if it was promised that citizens would be helped to cover the losses caused by the cancellation of these initiatives, now these people have no means to cover their expenses.So, where can one seek compensation if the government says it will not help? These questions remain unanswered, and people are starting to look for ways to cope with the situation on their own. It is expected that many will demand the return of canceled measures or new solutions from the authorities.


Spanish Political Circus: What Is Happening?

In reality, this entire situation cannot help but cause concern. When bills that promise to improve citizens’ lives are canceled at the last moment, it creates a feeling that the political process in Spain is nothing more than a circus. From time to time, it seems like politicians are not working for the benefit of the citizens but are focused on undermining the initiatives of their opponents and advancing their own interests.The situation resembles continuous party squabbles, where everyone is trying to push their own agenda, while the real issues of the population remain sidelined.
What will happen next? Perhaps in a week, they will change their minds and start discussing these bills again. But for now, the entire process looks extremely unstable, and no one can predict when or what will be implemented.


Positive News: Additional Holidays in 2025

Let’s not dive too deep into the gloom and discuss something more pleasant. In 2025, Spain will have 10 additional holidays. In addition to the standard 21 vacation days, residents of Spain will also enjoy extra holidays. This is, of course, good news, especially in such politically unstable times.The first big holidays in 2025 are tied to Easter.
Easter is traditionally a time when Spain adds many extra days off. This year, there will be 4 days, and this is called puente (bridge). During these days, people can relax, enjoy the company of their loved ones, and forget about politics for a while.In addition, Spain has the concept of acueducto (aqueduct), which means even more holidays. Of course, this also adds some nice bonuses to life.


Blue Monday: The Day Spaniards Wanted to Cry

We can’t leave out the phenomenon known as Blue Monday—the saddest day of the year. This concept was created by a psychologist to explain why, in mid-January, people tend to feel particularly gloomy. On this day, after all the holidays have passed and the next ones are still far off, many experience feelings of depression.
Spaniards, like many others, chose the “saddest” places to cry on this day.

And, strangely enough, some of the most popular places turned out to be:

• The Idealista website — People are searching for housing in the midst of a severe shortage, and perhaps this is the cause of their gloom.
• The Metro, Plaça de Catalunya — A rather strange choice, but this location seems to be associated with a feeling of despair among Spaniards.
• The Metro passage at Passeig de Gràcia — This is the longest passage in Barcelona, and its narrow walls create a sense of confinement.

Political Surprise from Spain: Pedro Sánchez's Proposal for a 100% Tax on Foreign Property Buyers

Friends, get ready for a new political surprise from Spain.
In early January, Spain’s Prime Minister Pedro Sánchez made a statement that literally rocked the public. He proposed introducing a 100% tax on property purchases by foreigners. You know, it was like a microphone drop on stage—loud and unexpected. But in reality, when we look at the broader context, this is just one of many ideas he suggested to tackle the crisis in the real estate sector. So, let’s break down what exactly is behind this proposal and what it could mean for Spain.


The Real Estate Crisis: Causes and Consequences

Spain is going through a real estate storm. Why? Because local residents are facing an acute problem: there is a housing shortage. And this is happening because foreigners are actively buying apartments and houses all over the country. At first glance, this may not seem like a big issue, but there’s a catch: many of the buyers don’t live in these properties. They simply rent them out, which results in an oversupply of expensive rental properties.

The situation is made worse by investment funds. These companies, with billions at their disposal, buy entire buildings or dozens of apartments, not thinking about living in them. Their goal is to rent out the properties at a high price and profit from the difference.

All this is affecting local tenants, who are finding it increasingly difficult to afford housing. Rental prices are rising, and the number of apartments available for long-term rent is sharply decreasing. Most property owners prefer to rent out their apartments on a short-term basis, for example, through platforms like Airbnb, which also drives up rental costs.


The Problem of Excessive Demand and the Growth of Tourism

To understand the scale of the problem, imagine that in 2023, Spain welcomed 94 million tourists. That’s an enormous number! All these people need somewhere to stay, and a large portion of the local housing is being rented out to tourists. Against this backdrop, it’s becoming harder for locals to find affordable housing. Renting an apartment to a tourist for a week is far more lucrative than renting it to a permanent tenant.
The problem is also exacerbated by the fact that properties for tourists differ greatly from properties for locals. Tourists want to stay in the city center, close to the beach, with access to all the attractions, and are willing to pay a premium for this. As a result, ordinary citizens are facing rental prices that are becoming unaffordable, and homeownership is nearly impossible.

Government Response: What Measures Are Being Proposed?

Understanding the seriousness of the situation, the authorities are trying to find a solution. Pedro Sánchez proposed 12 new initiatives to help alleviate the housing crisis. One of these ideas is the introduction of a 100% tax on property purchases by foreigners. Theoretically, this would limit property purchases by people who don’t intend to live in the homes, but simply want to invest in them for profit. But what’s the catch here?
Sánchez pointed out that in 2023 alone, non-EU residents bought 27,000 homes and apartments in Spain. And in his view, it’s important to avoid creating a society where wealthy property owners and poor tenants live in separate worlds. This is indeed a concerning trend that the authorities are trying to control.


The Problem of “Success”: How Spain Became a “Victim” of Its Own Appeal

Spain is a country that, for many, has become a true paradise. The hot sun, amazing culture, beautiful beaches, and affordable cost of living make it one of the most attractive destinations for foreigners. And that’s wonderful! But Spain’s success in tourism and real estate investment is starting to work against local residents.

For example, in Australia, a million dollars might only buy a small apartment in Sydney, but in Spain, with that same money, one could buy a beautiful house by the sea with a pool. This attracts wealthy foreigners, who buy homes in sunny Spain but don’t live in them; they rent them out to tourists. This isn’t necessarily bad, but the result is that many locals can no longer afford housing.


The Divide in Society: Poor Renters vs. Wealthy Owners
There’s a growing sense of social division in Spain. On one side, we have wealthy foreigners and investment companies; on the other, we have locals who are finding it harder and harder to afford both renting and purchasing a home. This creates a real social chasm.
And now, Pedro Sánchez, in an attempt to address the situation, stated that his goal is to avoid creating a society of two classes: those who own property and those who are forced to rent.


Difficulties with Legislative Measures: Will the Tax on Foreign Buyers Be Passed?

The proposal to introduce a 100% tax on foreign property buyers is causing major controversy at the moment. It might be too harsh a measure that could negatively affect investment in the country. At this point, it’s unclear whether the government will go ahead with it, as for a country that heavily relies on tourism and foreign investments, this could be a huge blow.
Nevertheless, in light of everything happening, the issue remains unresolved. On one hand, it’s an attempt to solve the housing crisis; on the other, many fear such measures could impact the overall economic climate.

What Comes Next? Hopes for a Solution

It’s impossible to ignore that the current housing crisis in Spain is a global issue. Questions of social justice and housing accessibility are becoming more pressing. We all hope that the authorities will find a balanced solution that will benefit both local residents and foreign investors.

For now, we can only watch the situation and hope that the Spanish government can handle the crisis without imposing overly harsh restrictions. We all hope that the law on the 100% tax on foreign property buyers won’t be passed. Otherwise, it could be too severe a measure, leading to unpredictable consequences.

New System for Issuing Temporary Protection for Ukrainians

For Ukrainians who want to come to Spain and apply for temporary protection, there is good news — the process has become significantly faster, especially in Barcelona. The changes in the procedure, which came into effect last year, make it easier to obtain temporary protection.

Previously, several steps were required: first, you would have to go to the police, receive the so-called "white sheet," and then submit documents for a resident card. Now, everything is simpler. For example, today you can call the Red Cross and schedule an appointment to receive the first document — the white sheet — as soon as the next day. This document allows you to stay legally in Spain and includes your photo and fingerprints.

Next, you will need to go to the police to have your fingerprints taken and apply for a plastic resident card. The waiting time for this card is usually no more than 30-40 days. This is much faster than just a couple of years ago when the entire process could take up to 3 months.

However, it’s worth noting that in recent months, the procedures have become stricter. For example, Moldovan citizens living in Ukraine with a residence permit are now denied the right to request temporary protection in Spain. They have been advised to seek protection in Moldova. This new rule points to increased control.


Valencia: The Perfect City for Retirees

According to a study, Valencia has become one of the most attractive cities for retirees. Forbes highlighted several factors that make the city ideal for comfortable living: an excellent public transport system, quality healthcare, a mild climate, and convenient infrastructure. To live comfortably in Valencia, one needs about 2,400 euros a month.
Other cities in the top five for retirees include Cascais in Portugal, Crete in Greece, Medellín in Colombia, and Mazatlán in Mexico. Interestingly, Valencia was recognized as the best among all these places, making it especially attractive to older people.

Economic News: New Growth and Startups in Spain

Entrepreneurial activity continues to develop in Spain. In November 2024, almost 10,000 new companies were registered, which is an impressive result. The majority of these companies operate in sectors like real estate, financial services, and insurance. Madrid, Catalonia, and Andalusia have become regions with the highest number of new startups.

However, it’s also worth noting that there has been an increase in the number of companies being liquidated — over 2,200. This suggests a high turnover in the business environment.


“Squid Game” in Spain: A New Project
If you love the popular series Squid Game, Spain will soon offer a unique opportunity to participate in a real-life version of the game. In the Alicante area, in a building designed by architect Ricardo Bofill, an event inspired by the show is planned. The building, known as Moralia Roja (Red Wall), is designed like a maze from the game, making it the perfect location for this event.

What’s interesting is that this building is privately owned and can be rented through the Airbnb platform. Perhaps in the future, there will be an opportunity to rent the space and host your own “game.”


Spanish Real Estate Market: Prices Are Rising, Tax Reports Have Been Filed

January in Spain is the time when companies submit their tax reports, and we can take a look at the ranking of the largest and most profitable companies in the country. This year, the leader was the oil company Repsol, which earned nearly 59 billion euros in 2024, with a staff of 25,000 employees working in 27 countries worldwide.
In second place is Iberdrola, a leader in clean energy, with a revenue of 49 billion euros. Rounding out the top three are Telefónica and the ACS group, owned by the president of Real Madrid, Florentino Pérez. In fifth place is the largest supermarket chain, Mercadona, which continues to grow steadily.

Universal Legalization: A News That Didn’t Please Everyone
Many had hoped that in 2025 Spain would pass a law for the universal legalization of all illegal immigrants, as it has in previous years. However, the Spanish government has officially stated that it does not plan to carry out a mass amnesty.

This was a disappointment for many who were hoping for simpler procedures to obtain legal status. Despite its friendliness and openness to foreign nationals, Spain continues to carefully control immigration flows, and the legalization situation will remain complicated in 2025.


2025 in Spain: The End of the Golden Visa

2025 began in Spain with significant news. One of the major announcements was the abolition of the golden visa — a measure that has been discussed for some time, and it is finally coming into effect. Starting from April 3, the golden visa will no longer be valid, but those who have already received it and need an extension will be able to renew their status. This is important information for anyone who was counting on this type of visa.

But don’t worry! Spain still offers other opportunities for immigrants and travelers. For instance, starting May 20, the possibility of applying for student visas for language schools in Spain will be canceled. If you plan to study, it's best to apply before this date.

Digital Nomads: How Is the NOMAD Visa Doing?

The only visa that remains stable and in demand is the digital nomad visa. This is a great option for those who work remotely and want to live in Spain. However, over time, the process of obtaining this visa has become slightly more complicated. While it used to require only a basic set of documents, the Spanish authorities are now requesting additional paperwork, such as company registration documents or educational diplomas.

Nevertheless, the digital nomad visa and student visa remain some of the easiest and most straightforward visas to obtain in 2025. The key is to prepare all the necessary documents correctly, and the visa decision will be made fairly quickly. A student visa can now be obtained in just 3-4 weeks in Barcelona, and the digital nomad visa in 20 business days.

Pensioners and Access to Free Medication

Good news for pensioners: Starting January 1, 2025, Spain will offer pensioners with an annual income below 11,000 euros access to free medications. To take advantage of this, they must have an individual public health card and not file a tax return. It’s expected that over 6 million pensioners will be able to save an average of 120 euros a year on medications. This is really good news!

What Will Happen with Transportation in Spain?

Let’s now talk about transportation. After the cancellation of national subsidies, each autonomous region in Spain is deciding what to do with transportation discounts and fares. In 2024, for example, Barcelona offered a monthly pass for 20 euros — a real gift for city residents. But starting in 2025, after the cancellation of government subsidies, the cost of transportation will likely increase to 40 euros per month.

In Madrid, for instance, discounts on transportation cards, which previously amounted to 60%, will be canceled. In Valencia, the discounts will remain until January 31, 2025. However, in the Basque Country, they have decided to maintain existing discounts, but at the expense of the local budget. The Canary Islands have a special case: there, free transportation for local residents will remain. In general, each autonomous region is handling this issue in its own way.

As for Catalonia, a small price increase is planned for Barcelona. For example, a monthly unlimited travel pass, which previously cost 22 euros, will rise to 35 euros. For young people, who receive three-month cards, the price will be 70 euros. These changes will come into effect on February 10, 2025.


Bright Future for Barcelona: Light Festivals and Conferences

On a positive note, 2025 promises to be a year filled with cultural events. Barcelona will host several major festivals and conferences. One of the most anticipated events is the projection on the Casa Batlló, which will take place on February 1 and 2.

This light projection attracts a huge number of viewers, and this year, beautiful floral patterns created by Spanish artist David Cuñol will be projected onto the building.
Additionally, Barcelona will host LUM Barcelona — a light festival in Pabellón, sponsored by the audiovisual conference ISE. It is expected that 2025 will see even more cultural events in the city, including conferences and concerts, which will become an important part of urban life.

New Opportunities for Work and Partnerships
As in previous years, Spain continues to attract foreign specialists, and in 2025, many new career opportunities are opening up. For example, my company Dream Life is actively seeking new employees to work in Spain. We are open to candidates not only from Spain but also from those looking to relocate and work remotely. We offer relocation assistance and are always happy to welcome talented people to join our team.
Moreover, if you’re interested in partnerships in sectors like real estate, insurance, or education, feel free to contact us. We are open to collaboration and looking for reliable partners in new markets. And, of course, if you’d like to feature in my video and share your story, don’t hesitate to reach out!

Conclusion
2025 in Spain will be a year of change, but also new opportunities. While some news may not be so pleasant (such as the abolition of the golden visa and transportation price increases), overall life in Spain promises to be dynamic and exciting