• Spain's news in English
 

Spain slashes spending in public sector overhaul

Published: 22 Jun 2013 10:23 GMT+02:00

The programme will see 57 public entities, such as overlapping weather agencies and competition watchdogs, shut down or merged, Deputy Prime Minister Soraya Saenz de Santamaria said.

"Once this reform is fully implemented, it will save the public administration around €6.5 billion," she said at a news conference after a weekly cabinet meeting.

"The goal is to have a much more efficient public administration," she added.

The planned overhaul also calls for the unification of cleaning, telephone and power services and the greater use of the digitalization of public administration processes instead of in-person paper processes.

It is based on a 2,000-page report by a commission that suggested 217 efficiency measures.

The government aims to instill a new "philosophy of cooperation" among the central administration and Spain's 17 powerful regional governments, which are responsible for healthcare and education, and municipalities with the reform, the deputy prime minister said.

Total savings from reforms to the public administration made by the government since it came to power at the end of 2011, including cuts in civil servant jobs, will reach just under €38 billion, she added.

The European Union, which in June 2012 granted Spain a rescue loan of up to €100 billion to prop up banks that have been swamped in bad loans since a decade-long property bubble imploded in 2008, has pushed Madrid to reform its public sector.

The Spanish economy, the eurozone's fourth-largest, fell into a double-dip recession in 2011 and the unemployment rate has since soared to more than 27 percent.

The International Monetary Fund warned on Wednesday that though Spain's biting recession may end soon but the outlook is tough and Madrid must do more to battle the country's unacceptably high unemployment rate.

Spain's efforts to pare its budget deficits — it is in the midst of a three-year effort to save €150 billion ($200 billion) by 2014 — must seek to avoid hurting growth, it added.

Your comments about this article

Today's headlines
Shakira gives birth to second son
Smiles all round: Colombian pop star Shakira gave birth to her second site on Photo: Frazer Harrison/Getty Images North America/AFP

Shakira gives birth to second son

Pop superstar Shakira and Barcelona defender Gerard Piqué welcomed their second child into the world on Thursday night. READ  

Podemos gears up for mass Madrid rally
"Hope is born," the leader of Podemos, Pablo Iglesias, said after the left-wing party Syriza was victorious in the recent Greek elections. Photo: Gerard Julien/AFP

Podemos gears up for mass Madrid rally

Buoyed by its Greek ally Syriza's victory, Spanish protest party Podemos kicks off election year with a mass rally on Saturday, vowing to defeat a political elite it brands corrupt. READ  

Spanish airport staff announce major strikes

Spanish airport staff announce major strikes

The two main unions at Spanish airport operator AENA on Thursday called 27 strike days between February and August in protest at the partial privatization of the firm. READ  

Marriage proposal ends in fatal clifftop fall

Marriage proposal ends in fatal clifftop fall

A young tourist in Ibiza has died after falling off a 15-metre (50-foot) cliff just moments after her boyfriend proposed to her. READ  

Spain braces for weekend of wild weather
The worst weather will hit Spain on Thursday evening and last until Sunday with only the Canary Islands being spared. File photo: Desiree Martin/AFP

Spain braces for weekend of wild weather

Many parts of Spain are set for wild weather conditions in coming days with gale force winds, rain and snow all on the cards. READ  

Gravedigger trapped under 200kg tombstone

Gravedigger trapped under 200kg tombstone

A young gravedigger in northern Spain was trapped under a gravestone weighing 200kg (440 pounds) when the scaffolding on which he was working collapsed. READ  

Weaker euro to boost UK tourism to Spain

Weaker euro to boost UK tourism to Spain

A drop in the value of the euro against pound sterling is expected to lift the number of British tourists visiting Spain this year. READ  

Missing UK man thought to be in Spain
Graham Wragg's family believe he may be in the Santander area of Spain (left) and are hoping he will get in touch. Photo: Photo of Santander: Shutterstock/Derbysh

Missing UK man thought to be in Spain

UK police are calling for help in their search for a man who went missing from his home in Derbyshire and who they now believe could be in the Barcelona or Santander areas of Spain. READ  

Police smash 'Pig's Head' prostitution ring

Police smash 'Pig's Head' prostitution ring

Police in Madrid have arrested six men thought to be members of a prostitution ring formerly led by an infamous Romanian clan leader known as 'Pig's Head'. READ  

Environment
Pyrenean snowfall halves in 60 years

Pyrenean snowfall halves in 60 years

Snow accumulation in the Pyrenees has halved since the 1950s, a new study shows, with some experts saying global temperature is to blame. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
National
The five strangest things about Spaniards
Business & Money
FATCA: 'The age of financial privacy is over'
National
Eleven dead as F-16 jet explodes at Spanish air base
National
Police seize jihadi cell prepared to attack Spain
What's On
What's on in Spain: February 2015
National
Spanish jobseekers fail exam with answers
National
Moving to Spain: a guide for beginners
National
Spain's new penal code: key talking points
International
Spain among Europe's cheapest nations: study
Features
Top ten surprising Spanish inventions
National
Spain's Repsol ends Canary oil exploration
National
Court to study paternity suit against ex-king
National
Europe in statistics - from Spain to Sweden
Politics
Catalan president calls early regional election
National
Top ten: must-know Spanish superstitions
International
'Change Schengen rules to catch Islamists': Spain
What's On
Ten ways to spice up your Spanish life in 2015
Health
Spain tops world organ donation rankings
National
5 things no one tells you about renting in Spain
National
'No Pants Subway Ride' hits Madrid Metro
National
Spain's satirical mags back Charlie Hebdo
National
Spain tightens security after Paris terror attack
National
Finally: a Spanish PM bothers to visit Andorra
National
Woman fined for being kissed while driving
Travel
Top travel highlights in Spain for 2015
National
Gallery: Hits and misses of Antonio Banderas
National
Spain's top news in 2015: The Local's predictions
National
Spain's public holidays in 2015: Official list
National
Christmas fireball lights up Spanish skies
National
Top ten: Spain's biggest stories of 2014
International
Madrid: mouse delays international flight for six hours
National
Confirmed: Spain's Princess Cristina to be tried for fraud
National
Did Vikings settle as far south as Spain?
National
Nativity donkey squashed by fat fan
Society
Lifting the lid on Spain's mysterious Christmas lottery
National
Why has The Local got a new logo?
What's On
Top 12 things to do in Spain over Christmas
Politics
Spain passes tough new 'anti-protest' law
Business & Money
Google News quits Spain in paid content row
What's On
How to party like a Spaniard: the ultimate guide
Society
Madrid's shocking slum shames Spanish capital
National
Policeman mauled by lions at Barcelona zoo
Business & Money
Uber eyes appeal against Spain ban
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

638
jobs available