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Spain Scales Back Plan to Raise Self-Employed Contributions, Freezes Rates for Lowest Earners

Negotiations continue with unions and employers on a revised offer that limits increases to about €3–€15 a month.

Overview

  • Social Security, led by Minister Elma Saiz, has circulated a moderated proposal to social partners after strong pushback to its initial plan.
  • Contributions would be frozen for self-employed workers earning below the statutory minimum wage, reversing an earlier idea of increases up to €17 per month.
  • For those above the minimum wage, the latest table trims the rise to roughly 1%–2.5%, or about €3–€15 monthly, down from the earlier €11–€206 range.
  • There is no final agreement yet, with talks ongoing between the government, coalition allies, the opposition and employer and union groups.
  • The PP intensifies criticism, with its Catalan branch warning of a very significant impact in a region with about 574,000 self-employed, as Alberto Núñez Feijóo proposes exempting VAT for those earning under €85,000 and readies a broader plan.