The Council of Ministers has approved the urgent processing of a royal decree designed to maintain the purchasing power of pensions, following an extraordinary session held on Friday. This administrative step ensures that the scheduled revaluation of pensions can begin on 1 January, aligning state payments with the current cost of living.
Under existing legislation, the annual increase is determined by the average year-on-year inflation recorded between December of the previous year and November of the current year. While the exact figure remains to be finalised, the Minister of Inclusion and Social Security has indicated that pensioners can expect an uplift of between 3% and 4%.
Inflation data and the road to January
The final calculations depend on upcoming data from the National Statistics Institute (INE). The institute is set to release advance inflation figures for November on 27 November—notably just two days before the elections—with the definitive data following on 15 December.
This timeline allows the government to formalise the increase before the new year begins. By fast-tracking the decree, the executive aims to provide certainty for retirees, ensuring that the legal mechanism for inflation-linked adjustments is fully operational by the start of the next financial cycle.
